Debt Collection Legal Services

AI-generated analysis of the documents. Check the official notice and any amendments for current submission details.

1. At a glance

2. Scope of Work

This tender seeks a single provider for Debt Collection Legal Services to the Central Bank of Ireland. The contract duration is initially three years, with an option for the Central Bank to extend it by up to two additional years, resulting in a maximum potential term of five years. The Central Bank is not guaranteeing any specific volume of work under this contract.

The services required are detailed in Appendix 1A of the Invitation to Tender (ITT). While specific day-to-day activities are not itemised in the provided extract, the core function involves providing legal expertise for debt recovery. This would typically encompass:

• Legal Advice: Providing counsel on debt recovery strategies, legal frameworks, and compliance.
• Debt Recovery Actions: Initiating and managing legal proceedings for the recovery of outstanding debts owed to the Central Bank. This may include:
• Issuing demand letters.
• Commencing court proceedings (e.g., civil summons, judgments).
• Enforcing judgments (e.g., through sheriff, garnishee orders).
• Negotiating settlements.
• Case Management: Maintaining accurate records of all debt collection activities, including communication, legal actions, and outcomes.
• Reporting: Providing regular reports to the Central Bank on the status of debt recovery efforts, including performance metrics and financial recovery.
• Compliance: Ensuring all debt collection activities adhere to relevant Irish legislation, regulations, and Central Bank policies, including data protection and information security requirements.
• Liaison: Acting as the primary legal point of contact for the Central Bank on all debt collection matters.

The tender documents also reference specific requirements related to data protection (Appendix 1B) and information security (Appendix 1C), indicating that the successful tenderer must comply with these standards in their service delivery. Tenderers are required to submit a pricing schedule detailing hourly rates and costs for specific service elements (1-7).

3. Background & buyer context

The Central Bank of Ireland is procuring these Debt Collection Legal Services to ensure the effective recovery of debts owed to it. The bank's mandate is to safeguard monetary and financial stability and ensure the financial system operates in the best interests of consumers and the wider economy. Efficient debt collection is a component of its operational and financial management. The tender is being run as an open procedure, indicating a desire to attract a broad range of qualified service providers. The contract is not regulated by the EU Public Procurement Regulations 2016, suggesting it falls below the relevant EU financial thresholds for such services.

4. Eligibility & selection criteria

Bidders must meet the following minimum requirements to be considered:

• Turnover requirement:
• Evidence of certified turnover of not less than €300,000 for each of the last three previous financial years (or since establishment if more recent).
• Auditor or accountant certificates are required as supporting documentation.
• Insurance:
• Public Liability Insurance: Minimum indemnity of €6,500,000.
• Employer's Liability Insurance: Minimum indemnity of €13,000,000 for any one occurrence.
• Professional Indemnity Insurance: €1,000,000 limit in the aggregate per insurance year.
• The successful tenderer must maintain these minimum levels with reputable insurers.
• Certifications: Not specified for this tender.
• Past experience:
• Details of two reference contracts must be submitted.
• Contracts must demonstrate experience in providing Legal Debt Collection services to Financial Service Institutions, the Public Sector, semi-state, or commercial state bodies.
• Both reference contracts must have been completed within the 36 months prior to the tender deadline.
• Contracts outside this timeframe will not be considered.
• A specific table format in Appendix 6 must be used for responses.
• Personnel: Not specified for this tender.
• Geographic / facility constraints: Not specified for this tender.

5. Award criteria & scoring

The contract will be awarded to the most economically advantageous tender. Bids will be assessed against the following criteria:

The price/quality split is weighted 650 marks for Methodology, Resources, and Service Elements (quality) and 350 marks for Price. A minimum pass mark of 210 is required for Methodology and Approach for Service Delivery. Tenderers must provide substantive responses to award criteria, not just declarations.

6. Submission requirements

Tenders must be submitted electronically via the eTenders website (www.etenders.gov.ie). Key submission components include:

• Method statement / response document: Tenders must be fully paginated with an index. Cross-referencing between parts is not permitted.
• CVs: Not explicitly mentioned as a separate requirement, but implied within "Proposed Deployment of Resources".
• Pricing schedule: Must be completed using the format in Appendix 3 and is the only section permitted to contain pricing information.
• Case studies: Two reference contracts must be detailed using the table format in Appendix 6.
• Declarations:
• Tenderer's Statement (Appendix 2).
• Self-declarations for economic/financial standing and technical/professional ability.
• Tax Clearance Access Number and Tax Reference Number.
• Disclosure of any conflicts of interest or registrable interests.
• Mandatory site visit: Not used for this tender.
• Submission portal: eTenders website. Documents must be in PDF or Microsoft Office format.

7. Key dates & process

8. Contract terms that matter

The contract is intended to be for 3 years, with the Central Bank holding the right to extend it by periods up to a total of 2 years, making the maximum duration 5 years. The successful tenderer must sign the contract as set out in Appendix 4. Key terms include:

• Payment terms: Not specified in the provided extract, but prompt payment is generally expected in public sector contracts.
• SLAs/KPIs: Not detailed in the extract, but implied through the award criteria on methodology and resource deployment.
• Liquidated damages: Not specified.
• Termination: The Central Bank has the right to terminate the contract earlier than the stated term. Specific clauses are detailed in Appendix 4.
• IP ownership: Not specified.
• Sub-contracting: Tenderers must indicate any intended sub-contracting. If a group tenderer is successful, one entity will be the Prime Contractor, and others will be sub-contractors.
• Guarantees/Bonds: Not specified.

9. Risks, red flags & unusuals

• No guaranteed volume: Tenderers are explicitly warned that there is no guarantee of work volume under the contract. This requires bidders to price and resource based on potential, not guaranteed, demand.
• Open procedure below EU thresholds: The tender is not regulated by EU directives, indicating a value below the typical EU thresholds for services. This may mean a less complex process but also potentially fewer formal protections for bidders.
• Strict compliance: The ITT emphasizes strict adherence to submission rules, page limits, and formatting. Non-compliance can lead to elimination.
• No contract amendment: Tenderers cannot amend the contract terms in their submission; queries must be raised beforehand.
• Reference contract timeframe: The strict 36-month window for reference contracts limits the pool of demonstrable experience.

10. SME fit assessment

This tender is open to law firms or legal practices specialising in debt collection. A credible bidder would likely be a medium-sized firm with a proven track record in financial services debt recovery.

• Who can credibly bid: Law firms with established debt recovery departments, demonstrating experience with financial institutions and public sector bodies. The turnover requirement of €300,000 annually suggests that very small sole practitioners might struggle to meet this threshold consistently.
• Consortium/sub-contracting: Consortium bids are permitted, with one entity designated as the Prime Contractor. Sub-contracting must be declared. This allows for firms to combine expertise or for larger firms to engage specialist debt recovery legal teams.
• Indicative bid-prep effort: Preparing a compliant tender, including detailing methodology, resources, and reference contracts, will require significant effort. Estimating 10-20 days of dedicated work from a bid team (legal, commercial, and administrative staff) is reasonable.
• Pwin signal: The Central Bank is a high-profile client. The absence of an incumbent name suggests this might be a new contract or a re-tendering where the previous provider is not specified. The strict reference contract criteria and the €300,000 turnover requirement suggest a focus on established, experienced providers rather than very new entrants.

11. Where to dig deeper

• Source RFT filename: Services Single Contract ITT - Debt Collection Sevices - Final 22 06.26.pdf
• eTenders CFT ID: Not explicitly stated in the provided text, but the tender reference is 2025P170.
• Contact / Clarification Portal: Messaging facility on www.etenders.gov.ie
• Most important attachments:
• Appendix 1A: Requirements and Specifications
• Appendix 3: Pricing Schedule
• Appendix 4: Contract