Part 3: Award of public contracts and procedures Chapter 3: Direct award Section 41: Direct award in special cases
There are certain circumstances where the contracting authority may award a contract to a supplier without first running a competitive tendering procedure. This section makes provision for when such direct awards are permitted.
	Subsection (1) allows a contract to be awarded directly to a supplier (as long as they are not an excluded supplier as defined in section 57(1)) where one of the justifications for direct award applies (set out in Schedule 5 (direct award justifications)).
	Subsection (2) permits a direct award to an excluded supplier where there is an overriding public interest to do so.
	Subsection (3) allows for a selection process or other preliminary steps to be taken prior to any direct award. This allows a direct award to still involve some informal competition or selection process.
	Subsection (4) requires a contracting authority to consider whether the supplier is an excludable supplier (as defined in section 57(2)) before awarding the contract.
	Subsection (5) explains when there is an overriding public interest for the purpose of direct award to an excluded supplier.  There will be an overriding public interest, firstly, where the award is essential for the construction, maintenance or operation of critical national infrastructure; secondly, where the award is necessary to ensure strategically important sectors for the UK, i.e. those that are vital to the defence, security or economic stability of the UK, function properly.  Thirdly, where excluding the supplier would prejudice the conduct of military or security operations or the effective operation of the armed forces or intelligence services; and finally, where the justification for direct award is extreme and unavoidable urgency (as set out in paragraph 13 of Schedule 5 (direct award justifications)) and the contract cannot be awarded to or performed by a supplier that is not an excluded supplier within the necessary time frame.
	Subsection (6) refers to the justifications for direct award set out in Schedule 5 (direct award justifications).
	Subsection (7) defines the term "intelligence services" for the purpose of this section, as the Security Service, the Secret Intelligence Service and the Government Communications Headquarters.