DEFECT REPORTS: HANDOVER & LIABILITY PERIOD

 


Owners Corporation and owners should consider arranging inspections of new buildings for defects during early life of the building.  These inspections, commonly called Defect Reports, can be undertaken by Buildcheck Engineers or Consultants who are experienced in identifying defects that should be rectified by the builder under his statutory responsibilities.

Defects Report - Handover

These reports are generally accepted by the builders as they provide a line under their responsibility for defects in a building.  Inspections are often undertaken in conjunction with the builder, and are provided in a point form, and typically identify the following types of defects:

  Incomplete work.
 

 

  Damage to finishes, eg painting, lift surrounds, roofing.
   
  Incomplete commissioning of services.

Defects Report - Liability Period

Depending on the contract between the builder and developer there is usually a defects liability period of 3, 6 or 12 months, during which time the builder is responsible for defects that become apparent in the building’s construction. The developer or owner usually withholds a significant amount of money over this period, which is not released until the defects are rectified.

Buildcheck reports can be used to reach agreement as to the extent of works required before deposits are refunded.

   

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