Construction - Managing Practical Completion and the Defects Liability Period

Walk the project with the client or CA 1-2 weeks before PC target. Classify outstanding items as PC-blocking or post-PC snagging. Document and share in writing.

Clear all PC-blocking items and notify the client in writing. Submit practical completion notification per contract requirements (JCT or NEC).

On receipt of signed PC certificate, raise the 50% retention release invoice the same day. Reference the PC certificate date on the invoice.

Record DLP start date, DLP end date, and remaining retention balance in the job record. Set a 4-6 week advance reminder before DLP end.

Log each client defect notification with date received and contract response deadline. Acknowledge in writing and confirm rectification date before attending site.

After each rectification visit, get written sign-off from the client or CA confirming the defect is cleared. Do not assume closure without a written record.

At DLP end, arrange the final inspection walkthrough. Confirm all defects are cleared and obtain the Certificate of Making Good Defects or equivalent.

Raise the final retention release invoice on the same day the final certificate is received. Sync to accounting and close the job record once payment is confirmed.

DLP end dates aren't recorded at practical completion, so the final retention release invoice gets missed or issued months late.

Defect notifications from clients are handled verbally with no written log, making it impossible to prove what was reported and when.

The PC certificate is treated as the end of the job, so retention release invoices are never raised and thousands of dollars sit uncollected for months.