JR Duty Free withdraws Tel Aviv challenge; bid date extended again

ISRAEL. JR Duty Free has withdrawn its petition against the Israel Airports Authority’s tender for duty free at Tel Aviv Ben Gurion Airport. As reported last week the incumbent retailer has challenged certain terms within the tender, asking for changes to be made or the tender to be cancelled.

The Moodie Report understands that the District Court of Tel Aviv refused to examine economic grounds, arguing that the tender process was fair and that it was for IAA to set its conditions, and prospective bidders to examine them.

In a statement IAA said: “The court has advised the petitioner, James Richardson, to withdraw the petition due to the fact that the petition has no merit and the arguments presented by the petitioner have no grounds.

“The petitioner, which is also one of the participants in the Tender process; has accepted the court advise and agreed to the petition dismissal in entirety.

“The court has also ruled that James Richardson will pay the Israel Airport Authority courts expenses.

“The Israel Airport Authority has issued a tender clarification advising all tender participants about the outcome of the court hearing and the continuation of the tender process.”

In the clarification, IAA has extended the bid deadline again, to 22 July. Participants will have until 8 July to seek further clarifications from the airport authority. As reported, last week IAA extended the bidding deadline from 6 June to 20 June at the request of prospective bidders.

JR Duty Free Chairman Garry Stock said: “The judge examined legal and administrative aspects and chose not to question economic elements of the contract. He advised us to withdraw our petition.

“We will continue to examine all aspects of the tender, including the risks we have identified, until the date of the tender.”

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