This article explains the liability period for defects, including the various considerations that must be taken into account when negotiating. With this information, civil engineers can properly assess their obligations and ensure the best outcome for their clients.
The defects liability period is the period after completion of a construction project during which the contractor is responsible for any defects that may arise. The duration of this period is normally negotiated between the contractor and the client and varies depending on the project. It is important to note that the defects liability period only applies to defects attributable to the contractor's performance of work. It does not cover defects beyond the control of the contractor, such as: B. those caused by the use of defective materials.
Factors influencing the duration of liability for defects
When negotiating the deadline, several factors must be taken into consideration.
First, the nature of the project – For example, the probability of defects is greater in a complex project with a large number of subcontractors than in a simple project with just a few contractors.
Second, risk – A high-risk project will likely have a longer warranty period than a low-risk project.
The third factor is customer expectations – if the customer expects a high level of quality, they will likely want a longer warranty period than a customer who expects a lower level of quality
Ultimately, negotiating the period of liability for defects is a balancing act between the interests of the client and the contractor. The key for civil engineers is to ensure that their obligations are properly assessed and that their clients' interests are represented. With a clear understanding of the defects liability period, civil engineers can help ensure the best possible outcome for everyone involved.
Important facts about the defects liability period
- Completion of outstanding work and elimination of defects
The contractor must have completed all work by the date of the acceptance certificate. This work must be completed within the reasonable time specified by the Engineers for the project.
Furthermore, all defects, material damage, etc. must be repaired before the defects liability period expires.
- Defect correction costs
All costs incurred by the contractor to correct the defect will be at his expense. However, changes made by the Engineer or the Client that are not included in the Contractor's original scope of work are not the responsibility of the Contractor. All costs of this work are borne by the customer.
- Extension of the liability period for defects
Contracts contain provisions to extend the liability period for defects. This may apply to part of the work that may not have been completed at the time the employer takes on the role. The extension is based exclusively on the conditions indicated in the Condition of contracts .
- Failure to correct defects by the contractor
If the Contractor does not correct the defects within the reasonable time allowed, he will be notified and a deadline will be given for completing the work. If the contractor does not correct the defect, the client himself may attend the work and claim the costs from the contractor. Customer retention can be used to claim these costs.
connection to storage
Retention will be deducted from any interim payment retained by the client to ensure the contractor continues work in accordance with the contractual agreement. Generally, retention is released at the end of this period. However, if the contractor provides a guarantee, the hold is sometimes released before the end of the defects liability period, as agreed by both parties.
For certain contracts, 50% of the retainage is released upon physical completion of the project and the other half is released at the end of the defects liability period.
