Legal Landmark: Leases Subject to Competitive Bidding Law

The Supreme Judicial Court has ruled that an agreement between UMass Lowell and a private developer, Brasi Development, for the development, maintenance and long-term lease of a dormitory constituted a contract for public construction subject to the requirements of the competitive bidding law.

In Brasi Development Corp. v. Attorney General & another, the SJC reversed a Superior Court finding that the agreement was a lease and not subject to the competitive bidding law. The Attorney General’s office had earlier reached a contrary decision following a bid protest by the Foundation for Fair Contracting of Massachusetts and the lowest bidder. Considering all the provisions of the lease agreement and RFP, the Court held that the competitive bidding statue, G. L. c 149 §§ 44A-44H, applies to UMass Lowell’s agreement with Brasi to develop and maintain a student dormitory near its campus.