Certified Public Procurement Officer (CPPO) Practice Test 2025 - Free CPPO Practice Questions and Study Guide

The term "collusion" in public contracting law primarily refers to an agreement between parties to act together secretly to achieve a fraudulent or deceitful end. This is often seen in situations where competitors agree on prices or divide markets with the intent to manipulate outcomes in their favor, undermining fair competition.

In the context of public contracting, collusion is treated as a serious offense and falls under criminal law because it involves illicit actions that violate statutes designed to promote fairness and integrity in government procurement. Such behavior can lead to various consequences, including legal penalties and the invalidation of contracts.

Understanding collusion is critical for maintaining transparency and accountability in the procurement process. It serves to highlight the legal frameworks that aim to deter fraudulent practices in public contracting, ensuring that competition remains fair and equitable for all qualified bidders.