Infrastructure projects, such as the construction of roads, bridges, energy facilities (HPPs, solar plants), or utility networks, represent the most legally complex and large-scale direction in the construction sector. Such projects are often implemented through state tenders, funding from international financial institutions (EBRD, ADB), or Public-Private Partnerships (PPP). They are characterized by specific contractual forms (e.g., FIDIC contracts), numerous environmental permits, and complex land expropriation procedures. A legal error in an infrastructure project can mean millions of Lari in losses, project suspension, or international arbitration.
Infrastructure project legal services involve full legal accompaniment of the project: from the tender stage to the commissioning of the facility. This requires lawyers with experience in administrative, corporate, and environmental law. Legal.ge gives you access to highly qualified legal teams capable of managing the legal risks of large engineering and construction projects.
What Does Infrastructure Project Legal Service Cover?
This service is designed for construction companies and investors and includes:
- Tender Documentation Preparation: Legal support for participating in state procurement, analyzing contract terms, and assessing risks.
- FIDIC Contracts: Adapting international standard (FIDIC) contracts to Georgian legislation, administering them, and managing disputes.
- Environmental Permits: Going through EIA (Environmental Impact Assessment) procedures and obtaining environmental decisions.
- Land Acquisition and Expropriation: Managing the process of purchasing or forcefully expropriating land plots necessary for infrastructure.
- Licensing and Permits: Obtaining special permits (e.g., water usage, resource extraction).
- Dispute Resolution: Representation in Dispute Adjudication Boards (DAB/DAAB) and arbitration regarding contract deadlines or budget overruns.
Common Real-World Scenarios
In infrastructure projects, the following challenges are common:
The first scenario is "Unforeseen Ground Conditions." During road construction, rocky soil was found which was not in the design. This increases costs. The contractor requests a budget and deadline increase (Variation Order). The client refuses. A dispute begins.
The second case is "Land Expropriation." Construction of a power transmission line halted because private owners refuse to sell land. It is necessary to obtain the right of expropriation through the Ministry of Economy and the court.
The third scenario is "Environmental Protest." The local population protests the construction of an HPP and demands the cancellation of the environmental decision. The lawyer must defend the company's interests in court and prove the correctness of the EIA.
The fourth situation is "Tender Disqualification." A company won a tender but was disqualified due to a flaw in technical documentation. This decision is appealed to the Procurement Disputes Board.
Georgian Legal Framework and Regulations
Infrastructure projects are regulated by many acts:
- Law on State Procurement: Regulates tender procedures and terms of state contracts.
- Environmental Assessment Code: Establishes rules for conducting EIA and issuing environmental decisions.
- Law on the Rule of Expropriation of Property for Urgent Public Necessity: Regulates the expropriation process.
- Civil Code: Used for contract interpretation unless a special law states otherwise.
Process and Stages
Legal service begins at the project pre-preparation stage (Due Diligence). Land status and environmental risks are checked. Then contract negotiation takes place. During construction, lawyers manage "Variation Orders" and claims (Claims Management). Upon completion, handover and final settlement occur. In case of dispute, priority is given to mediation or arbitration.
Why Legal.ge?
Infrastructure projects require narrow specialization that ordinary civil lawyers do not possess. On Legal.ge, you will find experts with experience working with FIDIC contracts and government projects. We will help you successfully implement large-scale projects.
Updated: ...