Category: Contracts & management
Prepared by Eng. Ahmed Fathy, Projects Manager ·
Definition
The defects liability period follows handover, often one year, during which the contractor must repair defects that appear at its own cost.
Why it matters on a project
Once it ends and defects are cleared, the final certificate is issued and the remaining retention is released.
Common mistake
Not notifying defects in writing during the period, so the owner's right is lost when it ends.
Frequently asked questions
How long is the defects period?
The contract sets it, usually one year from taking-over.
Does the contractor's liability end after it?
Liability for ordinary defects ends, but longer legal liability for structural defects can remain under the law.
Related terms
- Handover certificateA document evidencing the client’s acceptance of the works and start of the defects period.
- RetentionA percentage withheld from each payment and released after handover or the defects period.
- Snag list (punch list)A list of incomplete or defective items to be completed before final handover.
- As-built drawingsDrawings updated to match what was actually built, handed over in the close-out file.
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