Client Alert: Italian limit on subcontracting in public contracts is not lawful. Court of Justice of the European Union, judgment of the Court (fifth chamber) of 26th September 2019, Case C-63/18.

The Court of Justice of the European Union, with its judgment rendered in Case C-63/18 on the longstanding issue regarding the compatibility of the limit to subcontracting provided by  art. 105 of Italian Public Contracts Code (Legislative Decree n. 50/2016) with Articles 49 and 56 TFEU and Directive 2014/24/EU, ruled that the foregoing provisions of European law must be interpreted as precluding national legislation to limit subcontracting in public works.

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