Firm ends legal action over Assembly contract
A leading production company has ended its legal action over a £2.5 million contract to provide broadcasting services at Stormont, it emerged yesterday.
Lawyers for Macmillan Media have withdrawn a writ served on the Northern Ireland Assembly Commission which alleged a breach of public contract regulations.
The resolution is being seen as paving the way for the company to re-tender for the lucrative contract.
Proceedings were issued against the corporate body following a preliminary decision earlier this year to award the rights to a rival Belfast-based firm, Pi Communications Ltd.
Macmillan Media, which describes itself as one of the UK’s foremost independent multi-media production companies, was originally responsible for the provision of video, sound and broadcasting services on behalf of the Assembly.
The contract later switched to Pi Communications on a five-year deal which ran out this summer.
Following a new tendering process it was again identified as the successful bidder.
But that decision was suspended when High Court proceedings were initiated, and it has been stressed that a final outcome has yet to be reached.
Macmillan Media had sought a declaration that the Assembly Commission acted in breach of its obligations under the Public Contracts Regulations 2006.
It also argued that the decision is ineffective and should be set aside.
An alternative damages claim was included for losses sustained as a result of the defendant’s alleged breach of its obligations.
Senior London-based barrister Nigel Giffin QC had been instructed by solicitors representing Macmillan Media.
However, it has now been confirmed that the writ was discontinued last month.
The 2.5m value of the new six-year contract was confirmed following a Freedom of Information request.
The previous arrangement with Pi Communications was worth 1.59m over 5 years, according to figures disclosed.
It was also confirmed that between April 2005 and March 2010 the Assembly spent just under 1.79m on broadcasting equipment.
Out of this 1.42m went on a full refresh of the broadcasting equipment in Parliament Buildings during 2008. ends
An Assembly spokesperson said: “The process to procure broadcasting and related services for the Northern Ireland Assembly is ongoing.”
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Wednesday 30 May 2012
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