JCT Liability After Practical Completion
Alan Edwards delves into the intricacies of JCT contract liability and practical completion, offering a comprehensive understanding of these critical aspects in property management. He explores the rectification period, latent defects, and limitation periods, shedding light on these often complex terms. The episode further clarifies the definition of practical completion and discusses employer rights, emphasizing the necessity of understanding coverage, exposure, and risk prior to contract signing. Alan also addresses long tail risks, cash flow events, and pricing risk. The conversation concludes with key takeaways on practical completion and liability, followed by closing remarks and contact details for further engagement.
Key Points
- Practical completion marks a cash flow event for the employer, not the end of liability for the contractor.
- The JCT Design and Build 2016 contract includes a twelve-month rectification period where the contractor remains liable for notified defects.
- Developers should conduct a thorough contract risk assessment and verify JCT clauses to ensure adequate funds for potential defects and extended liability periods.
Chapters
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| 2:23 | |
| 3:22 | |
| 3:58 | |
| 4:25 | |
| 5:09 | |
| 5:26 |
Transcript
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