Concept of Practical Completion in Construction and Engineering Projects

Practical completion is a critical milestone in construction and engineering projects, marking the point where the primary construction work is sufficiently complete for the project to be used for its intended purpose. While this milestone is widely recognized, its interpretation and implications can vary significantly across different jurisdictions and project contexts. Understanding the concept of practical completion is essential for all parties involved in construction projects, from contractors to employers, as it influences the project’s financial, operational, and legal aspects.

Implications of practical completion

Practical completion is a contractual stage or milestone, that often necessitates a formal inspection and the issuance of a practical completion certificate usually be marked by the delivery of a completion certificate from the persons acting on behalf of the employer (an architect, contract administrator etc.). This certificate signifies that the contractor has fulfilled the primary obligations under the contract, though not necessarily all minor items.

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What is Practical Completion in construction projects?

Practical Completion refers to the stage in a construction project when the works are substantially complete and fit for their intended use, even if minor defects or outstanding items (snagging) remain.

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