Understand the legal implications of substantial versus final completion and how to properly close out a project.
The terms “substantial completion” and “final completion” or “completion” are terms of art in construction. They have generally understood meanings, although they are the subject of contract and law. These terms can mean different things in different contexts such as the warranty, payment and mechanic’s lien contexts. Owners, contractors, subcontractors and construction lenders need to understand how to properly close out a project, including the various steps required to achieve these major milestones, and the legal implications of substantial versus final completion, particularly when it comes to payment rights. This topic is designed to demystify these concepts in practical terms.
- You will be able to define and distinguish substantial completion from final completion.
- You will be able to identify when a project is complete for different purposes.
- You will be able to recognize key contract provisions which relate to completion.
- You will be able to understand the steps needed to bring a project to final completion.