Master Builders Association
'Q&A - Practical Completion'

This Weeks Episode of Home in WA

Contact:
Master Builders Association of WA

Email:
mba@mbawa.com

Website:
http://www.mbawa.com/

Phone:
(08) 9476 9800

Fax:
(08) 9476 9801

Address:
35 Havelock Street
West Perth WA 6005

This Weeks Episode of Home in WA

Kalgoorlie

Geraldton

Bunbury

Albany

Practical completion is a term that is misunderstood by many home buyers. Generally it means the point where all building work is complete or all but completed, in accordance with the contract, and the house is reasonably fit for occupation.

Usually there will be a practical completion inspection and the building supervisor and client will agree on a list of items to be attended to.
    
At practical completion, the builder is paid in full, the owner takes occupancy and the defects liability period starts. The Building Disputes Tribunal or the courts will act if the builder does not meet the defects liability obligations.

If any unfinished items prevent the home from being “lived in”, then practical completion could be deemed not to have occurred.
    
Confusion over this point is common because it is at the point of practical completion that payment of the final progress claim becomes due. To withhold some or all of the final payment until they are completed is usually a breach of contract.
    
There are many more questions you may have, so check out Master Builders A to Z at their website, mbawa.com