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Divakar BabuMember for 16 years 11 months
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my project is in substantial completion stage , client wants allow the traffic, there is snags. my question here is that defect liabilty period strats as on when trafiic allows or after comletion of all snags?

3 replies

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  1. 0
    Anoon Iimos ·
    I supposed you can make use of area hand-over (or turn-overs), with specific responsibilities?
  2. 0
    Gary Whitehead ·
    Generally I believe defects liability period starts on handover, which is when the client starts to, or agrees is able to, make normal use of the asset(s) the project delivers.

    Anoon is right though -For clarity’s sake, suggest to the client the contract scope is split into 2 sections. Section 1 is handed over for use, with defects liability period begining. Section 2 is whatever is on the snagging list (and ONLY what is on the snagging list), and defects liability period will begin when entire list is cleared.
  3. 0
    Samer Zawaydeh ·
    Dear Divakar,

    You will need to read your Conditions of Contract carefully to answer this question correctly. The advice of Gary and Anoon is also correct.

    Usually, if you Contract is under FIDIC, this is covered under Clause (10/1). The handing over date is the date that the Contractor states in his letter that the works or parts of the works are completed and the Engineers issues the letter stating that the works were complete on that date.

    The defects liability period starts after the handing over date. The Contractor usually is given a period to complete all the snags.

    You can have two types of relationship with your client. If you are both in agreement, then you can agree on the date to complete the list of snags to the approval of both parties, while the client allows traffic. If you are not in agreement, then it would be wise to document the states of the project with photos, videos and official statments from representatives from several parties (DAB, Insurance, Courts) depending on the nature of the project.

    With kind regards,

    Samer

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