710 Construction Contract Final Completion Checklist 2025

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There are five key components you need to address in each construction contract as a protection against legal trouble. Scope of the project. Total cost and payment requirements. Project timeline. Lien law protection. Dispute resolution.
What to avoid in construction contracts Unclear scope of work and specifications: An ambiguous scope of work can cause misinterpretation. Missing change order procedures: Not having change order procedures is a risk as construction projects rarely go exactly ing to plan.
Protect Yourself when Working with Custom Home Builders Only work with a licensed contractor. Get the contract in writing. Avoid lump sum bids. Talk to several contractors. Tie payments to deliverables. Get proof of payment to suppliers.
What about final completion? During the project closeout phase, final completion also known as final acceptance is defined by the date when the owner determines the construction project to be 100% completed, punch list work included.
A contract can be declared unenforceable if it does not comply with applicable laws, Wolf said. For example, states like California and Florida have extensive and strict licensing laws, and if a contractor takes on a project without being properly licensed, the contract is likely illegal and therefore unenforceable.

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If they are already included, review them carefully to make sure they sufficiently protect your rights or offer guidance in difficult situations. Scope of Work. Timing of Work. Payment for Work. Changes to Scope of Work. Warranty for Construction Defects. Dispute Resolution. Attorneys Fees. Contractor Default Provision.
The primary difference between substantial completion and final completion is the level of readiness: Certificate of Substantial Completion: Confirms that the project is usable for its intended purpose, but minor work remains. The owner assumes possession and financial obligations begin.

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