The contract, signed in October, would have seen Mauri Kohatu Incorporated undertaking weed control, litter control and path maintenance at a range of sites across Dunedin on a trial basis until June next year.
"The council has a commitment to social procurement, but it is a two-way street," Dr Bidrose said.
"We want to support people who are doing their bit to pull themselves up by their bootstraps, but this requires them to meet certain standards and we will be looking at this with regard to these projects."
The initiative came about after Mangu Kaha (Black Power) members made a submission to last year's Annual Plan asking the council to consider giving them contracts to maintain some of its green space.
No further comment would be made while the issue was before the courts.
