REPORT
ARCHITECTURE SITE PRACTICE
NAME :NURSAKINAH BT SFAARUDDIN
MATRIC NO ;02DSB19F1034
SITE SITE POSESSION WHAT IS A
ORGANIZATION, CONSTRUCTION
PERFORMANCE BOND & INSURANCE
ROLES AND OF WORKS DOCUMENT
RESPONSIBILITIES CHECKLIST?
TABLE OF CONTENTS
ARCHITECTURE SITE
PRACTICE
SITE ORGANIZATION, 02
ROLES AND 03
RESPONSIBILITIES
04
INTRODUCTION 05-06
SITE ORGANIZATION ROLES 07
AND RESPONSIBILITIES (RA,
PM, C.O.W)
SITE ORGANIZATION ROLES
AND RESPONSIBILITIES (SS,
SHO,SC,TA
ROLES AND RESPONSIBILITIES
ROLES AND RESPONSIBILITIES OF
TEAM CONSULTANT’S TEAM &
CONTRACTOR’S TEAM
SITE POSSESION
PERFORMANCE BOND & 08
INSURANCE OF WORKS 09
INSURANCE AGAINST INJURY TO
PERSON AND PROPERTIES
WORKMEN'S COMPENSATION 10
INSURANCE 11
12
SOCSO CONTRIBUTION
13-14
REQUIRED TO BE PREPARED BY
THE CONTRACTTOR PRIOR TO
SITE POSESSION
WHAT IS A
CONSTRUCTION
DOCUMENT CHECKLIST
SITE
ORGANIZATION,
ROLES AND
RESPONSIBILITIES
An organisation’s responsibility is the
ethical behaviour of an organisation
when conducting or running its business.
Organisation’s responsibility can also be
referred as corporate social responsibility,
sustainable responsible business,
corporate social performance, corporate
citizenship or responsible business.
So why is it important to act in an ethical
manner?
The answer is simple. In today’s world,
acting in an unethical manner is highly
frowned upon by the society. People are
more educated right now and are more
aware. If an organisation does not
comply in ethical behaviour, they might
not only lose customers but they might
even not even get employees who are
willing to work for the organisation.
PAGE 02
ARCHITECTURE SITE PRACTICE
SITE ORGANIZATION ROLES
AND RESPONSIBILITIES
SCI BUZZ > INDUSTRY >
RESIDENT PROJECT MANAGER
ARCHITECT ( RA) (PM)
D evelops building ideas concepts and designs Ultimate Responsibility Bearer • roject managers play the lead role in planning,
The Primary Role of Project Manager Pexecuting, monitoring, controlling, and closing
for residential buildings homes, condominiums is Integrator •
and other structures where people live. Travel to Project Manager Role of a Facilitator out projects. They are accountable for the
meet clients, contractors or vendors. Proactive Communication is a Duty entire project scope, the project team and
of a PM and Proactive Problem resources, the project budget, and the success
Develops building ideas Solver or failure of the project
Concepts and designs for residential buildings
homes, condominiums and other structures Defining and setting the project scope
where people live. Planning and scheduling • Estimating costs
Travel to meet clients, contractors or vendors and developing a budget •
Resource assignment and management •
CLERK OF WORK Vendor coordination •
(C.O.W) Status updates and issue
P rimarily to represent the interests DETAIL >
of the client in regard to ensuring
that the quality of both materials INSPECTOR OF WORK (I.O.W)
and workmanship are in accordance
with the design information such as A n Inspector of Works (IOW) is a person •Charged with the duty to issue permits,
specification and engineering registered under subsection 10(E) of the •such as a building inspector or sanitation
drawings, in addition to recognised Registration of Engineers Act 1967 (Revised inspector
quality standards 2015). A registered IOW shall conduct •enforce the relevant regulations and laws.
himself / herself honourably, responsibly,
Monitor the construction progress ethically and lawfully by following the •Reading blueprints and specifications to
and assist in the preparation of Code of Conduct as determined by the ensure that operations meet production
progress reports required by the Board. standards.
Owner or School Building Authorit •Recommending any necessary adjustments
and changes to production processes
Review Contract Documents with Inspecting and testing the materials and
the Contractor’s superintendent so equipment produced by a company
as to have a complete
understanding of the scope of the
project.
PAGE 03
SCI BUZZ > ARCHITECTURE SITE PRACTICE
SITE ORGANIZATION ROLES
SITE
SUPERVISOR AND RESPONSIBILITIES
INDUSTRY >
SAFETY AND HEALTH
OFFICER
Management and supervision of a The health and safety officer (HSO) is a qualified
construction site in accordance with officer responsible for the monitoring and
health and safety guidelines
controlling of health and safety compliance and
Supervising workers,
subcontractors and work related rules and regulations in his or her
activities.
organization
Preparing and presenting site
inductions,
safety briefings and toolbox talks.
Assessing and managing safety
hazards.
Ensuring appropriate site rules
and welfare facilities are in place.
SITE CLERK
The Site Clerk is a key member of the DETAIL >
construction team. The Site Clerk serves as TECHNICAL ASSISTANT
management's on- site representative on a
day to day basis. It's responsibilities may vary echnical assistance, form of aid given to Answering telephones and
from one project to another. T less-developed countries by international taking messages. •
Composing emails. •
Inspecting construction work and organizations such as the United Nations Typing up reports for the
comparing it with drawings and (UN) and its agencies, individual company. •
specifications • governments, foundations, and Scheduling meetings.
Measuring and quality checking building philanthropic institutions. Its object is to Printing and filing documents. •
materials • provide those countries with the expertise Organising company travel
Identifying defects and suggesting ways needed to promote development arrangements. •
to correct them • Providing technical assistance
Monitoring progress and reporting to with equipment operation. •
construction managers, architects and Cleaning of technical equipment
clients
PAGE 04
Assisting the foreperson and site
manager with day to day activities •
Helping the documents controller
and health & safety personnel with
their work
ARCHITECTURAL SITE PRACTICE
ROLE AND RESPONSIBILITIES
SCI BUZZ > INDUSTRY >
SUPERINTENDING LAND SURVEYOR
OFFICER
Preparing and maintaining sketches, maps, and reports of
Applying project management legal descriptions of surveys.
techniques, such as planning, Verifying data and calculations.
scheduling, monitoring and Recording results of surveys.
coordination. Calculating the measurements of sites.
On -site construction supervision Writing descriptions of property boundaries.
of temporary event related Researching legal documents, survey records, and land titles to
infrastructure installation. • clarify information about property boundaries
Contract administration. •
Coordination of track and civil DETAIL >
infrastructure for the event,
including temporary track kerbs, QUANTITY SURVEYOR
track emergency cranes, track
sweeping, civil works, During the whole construction of the Perform risk, value management, and
maintenance and restoration building, surveyors keep eye on the cost control
works, construction traffic cost. Advise on a procurement strategy
management, transportable Quantity surveying is an essential part Identify, analyze and develop responses
buildings, plumbing Works and of any new building construction and to commercial risks
the like. renovation project. You can hire a Prepare and analyze costings for
• Liaison with government surveyor company if you need any kind tenders
authorities, such as LTA, BCA, of assistance Allocate work to subcontractors
SCDF, NParks. Undertake cost analysis for repair and Provide advice on contractual claims
• Coordination with other maintenance project work
engineering, marketing and Assist in establishing a client’s
event operations activities requirements and undertake feasibility
studies
ENGINEERS
Making plans using detailed drawings
Preparing estimates and budgets
Creating accurate project specifications
Designing engineering experiments
Creating technical reports for customers
Completing regulatory documents
concerning
PAGE 05
ARCHITECTURE SITE AND PRACTICE
ROLE AND RESPONSIBILITIES
SCI BUZZ >
LANSCAPE
ARCHITECT
creating plans, designs and
drawings using computeraided
design programs
surveying sites o advising on
matters to do with
environmental conservation
discussing requirements with
clients o writing reports
producing contracts and
estimated costs
presenting proposals to clients
for approval and agreeing time-
scales
overseeing projects as they
progress
seeking the opinions of locals,
business and others who use the
site
TOWN DETAIL > A draftsman is a skilled professional
PLANNER who draws plans for buildings and
DRAUGHTMAN machines. Draftsmen can be employed
Ease or avoid social, economic and in different fields, and work closely with
environmental problems within their A person employed in making other professionals like architects,
town of employment. mechanical drawings, as of machines, engineers, and scientists.
To regulate the planning of building structures, etc. a person who draws
construction as per Town/Map/Master sketches, plans, or designs. an artist PAGE 06
To earmark the all land use as per exceptionally skilled in drawing:
master plan in urban area for housing. Matisse was a superb draftsman
Matter relating to town and country
planning and preparation of Master
Plan thereof.
ROLES AND
RESPONSIBILITIES OF
TEAM CONSULTANT’S
TEAM &
CONTRACTOR’S TEAM
TEAM CONSULTANT’S
○conducting research, surveys and
interviews to gain understanding of the
business
○analysing statistics
○detecting issues and investigating ways
to resolve them
○assessing the pros and cons of possible
strategies
○compiling and presenting information
orally, visually and in writing
CONTRACTOR’S TEAM
○Creating and managing the
construction schedule.
○Organizing and managing the jobsite.
○Hiring subcontractors and managing
their quality.
○Contracting suppliers and vendors.
○Licensing and renting equipment.
Providing field management and labor
PAGE 07
27
A performance bond (or performance
security) is commonly used in the
construction industry as a means of
insuring a client against the risk of a
contractor failing to fulfil contractual
obligations to the client .
1.2S I T E
POSSESION
Contract works insurance is an insurance for
builders and other tradesmen , designed to cover
work that’s underway on a site . •
It can pay to repair or redo the work that’s in
progress if it’s damaged by an insured event like
fire, flood, storm, vandalism or theft .
70
PAGE 08
INSURANCE
AGAINST INJURY
TOPERSON AND
PROPERTIES
A Workmen Compensation insurance
policy is a commercial insurance policy
that covers the legal liability of an
employer to provide compensation to its
workmen in case of their death or
accident •
This insurance shall be for a limit per
occurrence of not less than the amount
stated Contract Agreement, with no limit
on the number of occurrences. If an
amount t stated in the Contract, this Sub-
Clause shall not apply. Unless otherwise
stated in the Contract Agreement, the
insurances specified in this SubClause:
shall be effected and maintained by
the Contractor as insuring Party,
shall be in the joint names of the
Parties,
shall be extended to cover liability
for all loss and damage to the
Contract Awarder's property (except
things insured under Sub-Clause 18.2)
arising out of the Contractor's
performance of the Contract, a
PAGE 09
SOCSO
CONTRIBUTION
Social Security Organisation (SOCSO)
has also extended its coverage for all
legal foreign workers (excluding
domestic servants) in Malaysia,
effective 1 January 2019, whereby they
will be covered by Employment Injury
(EI) Scheme under Act 4. The rate of
contribution is 1.25% of the insured
monthly wages and to be paid by the
employer. •
Employees’ Social Security Act 1969
(Act 4) The Social Security
Organization (SOCSO) provides two
social security schemes to protect the
welfare of employees and their
dependents under the Employees’
Social Security Act 1969 (Act 4). The
two social security schemes are:· •
Employment Injury Insurance Scheme
Employment Injury Insurance Scheme
provides protection to employees who
suffer from work related accidents or
occupational diseases arising out of and in
the course of employment in an industry •
Invalidity Scheme Invalidity provides 24-
hour coverage to employees against
invalidity or death due to any cause not
connected with his employment
PAGE 10
WORKMEN’S
COMPENSATION
INSURANCE
Workmen’s Compensation Insurance
protects employers against any
compensations to be paid under the
Workmen’s Compensation Law(s) of
Malaysia for any injuries to their
employees through accidents or diseases.
PAGE 11
REQUIRED TO BE
PREPARED BY THE
CONTRACTOR
PRIOR TO SITE
POSSESSION
Handover keys •
Discuss issues related to continued
occupation of any part of the site
(particularly on refurbishment
projects) such as access. •
Discuss security.
• Issue any significant information
about the site (such as site services,
tree preservation orders, etc.).
• Discuss ongoing maintenance,
operation and protection issues
regarding existing structures,
landscape or other features to be
retained.
• Discuss noise and dust reduction
measures. •
Verify insurance provisions. • Read
meters. •
Provide contact details for key
personnel on both sides. •
Discuss access for client's personnel
and representatives or other client
contractors.
Duke | 102 PAGE 12
ARCHITECTURE SITE PRACTICE
WHAT IS A CONSTRUCTION
DOCUMENTS CHECKLIST?
SCI BUZZ > INDUSTRY >
CONTRACT SPECIAL CONDITIONS
AGREEMENTS AND
CONTRACTS This is usually an extension of the contract and to the
general conditions. This part must specify specific
The agreement to be used by the conditions and clauses to each particular project or
contracting officer (owner) and the job. Pay special attention to specific instructions and
contractor. The essential part of the requirements on how to perform the work.
contract documents.
STATEMENT OF
WORK (SOW)
A solid scope will be helpful during DETAIL >
the bidding process and later on
during the construction sequence. A DRAWINGS
well-defined scope will be used to
determine the amount of work A ll set of drawings that form part of the job to be performed. These drawings are
needed to complete the work. usually the latest drawings and must be received by the contractor prior to the
date of commencement. It must include all drawings from consultants and will
GENERAL constitute the entire project being contracted.
CONDITIONS
BILL OF QUANTITIES
T his contract document will define
the obligations and rights on how to This is formed by the list of diverse trades, and materials included that form part
execute the project. Overhead costs, of the construction. Sometimes this document is not required by the contracting
what to claim and your rights must officer.
be included in this portion of the
contract.
Technology Now | Issue 70 | 234 PAGE 13
ARCHITECTURE SITE PRACTICE
WHAT IS A CONSTRUCTION
DOCUMENTS CHECKLIST?
SCI BUZZ > INDUSTRY >
CSI COSTS IN THE
MASTERFORM CONSTRUCTION INDUSTRY
AT OUTLINE
B reakdown of all items being incorporated in the
T he technical requirement to construction project.
complete, execute and/or perform
every little task or material being
incorporated in the construction
projects. It will add intelligence to
the construction drawings; specify
common standards, deviations
accepted, materials accepted and
the required testing for all materials.
Usually, specifications are made by
referencing construction standards
and codes.
CREATING DETAIL >
CONSTRUCTION
SCHEDULE LIST OF COMMON TYPES OF
CONSTRUCTION INSURANCE
The construction schedule is an
important piece of the document. In This part will be an essential part of the
this part, the contracting office will contracting officer, since, it will provide the
know how and when the project will guarantee to the owner that the
be completed. contractor has the means and the
economic backup to perform the
construction contract.
Technology Now | Issue 70 | 234 PAGE 14
ARCHITECTURAL SITE PRACTICE
SITE PREPARATION
SCI BUZZ > INDUSTRY >
SITE EARTH WORKS
BOUNDARIES
E rthworks. Earthworks are engineering works
ite boundaries: You need to created through the moving and/or processing of
S massive quantities of soil or unformed rock. Earthwork
is done to reconfigure the topography of a site to
define boundaries physically, where achieve the design levels. Earthwork involves cutting
necessary, by suitable fencing. The and filling to achieve the required topography
type of fencing should reflect the
nature of the site and its DETAIL >
surroundings. Determining the
boundary is an important aspect of SITE CLEAREANCE
managing public risk.
ite clearance is essentially going back to the drawing board. It involves the removal of
SITE PAGING S
. paging system is hard-wired into waste to ensure that an area or stretch of land is free from any hazards and starting
A from a blank canvas – before preparing the land for its desired use.
the building's infrastructure, allowing
reliable mass communication. A
network of speakers ensure that a
message is communicated to every
area of a building simultaneously. It's
also possible to send pages to
specific building "zones" if needed.
ORIGINAL
GROUND LEVEL
(OGL)
A mong the issues which render The process involves the use of specialist heavy machinery, a skilled team with the
the importance of OGL survey prior expertise and knowledge of operating the required equipment and the means to
to actual physical works are to legally dispose of the waste.
establish the validity of the actual
surface and the early design change
prior to physical works.
Technology Now | Issue 70 | 234
ARCHITECTURAL SITE PRACTICE
SITE PREPARATION
SCI BUZZ > INDUSTRY >
SITE CLEARING EARTHWORKS
T he sole purpose of Site Clearance I ncentives such as task work the volumes of earth to be
is to clear the land of any existing
buildings, debris or waste. It also excavated have to be measured and calculated accurately.
involves clearing the surface layer of There are basically two ways of accurately determining the
topsoil – which is necessary to volumes to be excavated: using the traditional way of
remove as it cannot be built on. It measuring the levels with a levelling instrument and drawing
can also contain chemicals within the cross-section to scale. The volume can then be calculated;
the topsoil leading to plant growth, using the slotting technique which enables the measurements
which could affect new structures to be taken with a ruler or tape on the cut itself
over time.
It is important to note that here at DETAIL >
Thompsons of Prudhoe, we are fully
aware of the impact that the work CUT AND FILL
we carry out can have on the
environment. Therefore due to our
strict waste segregation and
disposal, we have a 97%+ recycling
rate and all brick, concrete and
mixed soil materials will be
processed into recycled materials
meeting the specification as
required by the client or another
construction project within the area.
LEVELLING C uts are typically used in road, rail, and The writer can use redirection to ensure that the
canal construction to reduce the length reader keeps reading the article and to draw her
T he levelling process helps creates a and grade of a route. Cut and fill attention to other articles. For example, phrases
geographic profile of the site, so it's very construction uses the spoils from cuts to like "Continued on page 3” redirect the reader to
important that this is carried out correctly. fill in defiles to cost-effectively create page where the article is continued.A news articl
It's one of the very first steps in the relatively straight routes at steady grades. can include accounts of eyewitnesses to the
building process, and all aspects of the happening event. news article discusses current
construction rely on it. or recent news of either general interest (i.e. daily
newspapers) or of a specific topic (i.e. political or
trade news magazines, club newsletters, or
technology news websites). What, when, where,
why and how.
Technology Now | Issue 70 | 234
ARCHITECTURAL SITE PRACTICE
SITE PREPARATION
SCI BUZZ > INDUSTRY >
SITE ACCESS CONSIDERATIONS FOR
CONSIDERATIONS TEMPORARY SERVICES
I T is necessary to examine roads C onsider the type of temporary services, location of
on and off the construction site. The the required services, and the time in which the given
suitability of the roads to transport services are needed. The coordination between various
all requirements for the suggested services conducting at the site is fundamental.
construction site and also for general
circulation should be examined.
Ease of accessibility would minimize
the chance of accidents, increase the
morale of drivers, and cut the time
needed to leave and arrive at the
project site.
CONSIDERATIONS
FOR OFFICES AND
ACCOMMODATION
T he accommodation DETAIL >
considerations include the type and
expected numbers of staff at the PLANT FENCING
construction site, determine the CONSIDERATIONS CONSIDERATIONS
location for offices to provide quick
and easy access for visitors, and also P lant type, time, and location of its The contract may specify the type of the
to give a good view of the requirements should be considered during required fencing. In this regard, the record
construction site setting a construction layout plan if the of vandalism of the area may help whether
plan is stationary, then specify a suitable fencing is needed or not.
STORAGE area for its placement and provide good
CONSIDERATIONS hard standing.
However, if the plant is mobile, examine
W hen storages are set at the the route of the plant to achieve optimum
construction site, many factors need usage and efficiency. Additionally,
to be considered, for instance, adequate space may be required for onsite
quantity and type of materials, maintenance of the plant.
suitable weather and security
protections, provision of sufficient
storage space and working area
around the storage.
ARCHITECTURAL SITE PRACTICE
SITE PREPARATION
ARCHBUZZ SITE OFFICE
>
GUARD HOUSE
A guardhouse (also known as a C onstruction sites will generally require office facilities
watch house, guard building, guard to provide accommodation for site managers, provide
booth, guard shack, security booth, space for meetings and to provide storage for site
security building, or sentry building) documentation. Site offices are often described as ‘site
is a building used to house huts’ even if they are large and well fitted out.
personnel and security equipment.
Guardhouses have historically been
dormitories for sentries or guards,
and places where sentries not
posted to sentry posts wait "on call",
but are more recently staffed by a
contracted security company.
SITE STORAGE
T he location and size of space to be allocated DETAIL >
should be planned carefully as part of an HOARDING AND SIGN BOARD
overall site layout plan and each site will
present its own problems. Failure to adequately A hoarding is defined as a temporary Construction sites must be marked to protect
plan for storage space can result in congestion, boarded fence in a public place, usually employees from hazards and prevent passersby
or having more materials on site than storage erected around a building site. These are from entering restricted areas. Common safety
space allows for. used to protect the public from site works signs for construction sites warn people that
whilst also being used to display they need to wear appropriate personal
WORKERS advertisements. protective equipment (PPE), must have
QUARTERS authorization to enter certain areas, or should
C entralized Labour Quarter (CLQ) for worker check in at a main office upon arrival at the
to improve workspace safety. Our CLQ offer site.
fully equipped building with gated-and-
guarded accommodation complete with Signs are available in 5 materials, including
modern amenities for labour safety and
comfort. Our CLQ also fulfill current CIDB PVC, aluminum, and adhesive-backed vinyl.
requirement and compliance to IBS.
Select the material that will work best for your
In recent c0r0na virus outbreak, we are
introducing new setup in CLQ to have Isolation facility's environment. We offer several
wards, ICU ward and many other essential
cabins to ensure workers safety messaging options like a "Work Zone" sign or a
"Men at Work" sign.
ARCHITECTURAL SITE PRACTICE
SITE PREPARATION
ARCH BUZZ ACCESS ROAD
>
BASIC FACILITIES
A number of facilities are required T emporary access roads are regularly required on
on construction sites to provide construction sites. They provide access for what can be
adequate welfare for workers. The heavy construction vehicles carrying materials and
Construction (Design and equipment needed to complete the project at hand. ...
Management) Regulations (CDM The granular fill or aggregate acts as the road surface
Regulations) require the provision of: itself
Sanitary conveniences.
Washing facilities.
Drinking water.
Changing rooms and lockers.
Facilities for rest.
MAIN ENTRANCE
GATE
A building's entrance fulfils an important role DETAIL >
in providing activity for the street and creating INFRASTRUCTURE ON SITE PREPARATION
an identity for the building. The entry should be
designed so that the visitor or resident can I n the planning of facilities, it is important to Several characteristics are unique to the planning of
readily find their way to and around the constructed facilities and should be kept in mind even at the
building. recognize the close relationship between very early stage of the project life cycle. These include the
design and construction. These processes can following:
WORKERS best be viewed as an integrated system.
QUARTERS Broadly speaking, design is a process of Nearly every facility is custom designed and constructed,
creating the description of a new facility, and often requires a long time to complete.
C entralized Labour Quarter (CLQ) for worker usually represented by detailed plans and Both the design and construction of a facility must satisfy
the conditions peculiar to a specific site.
to improve workspace safety. Our CLQ offer
fully equipped building with gated-and- specifications; construction planning is a Because each project is site specific, its execution is
guarded accommodation complete with
modern amenities for labour safety and process of identifying activities and resources influenced by natural, social and other locational
comfort. Our CLQ also fulfill current CIDB
requirement and compliance to IBS. required to make the design a physical reality. conditions such as weather, labor supply, local building
In recent c0r0na virus outbreak, we are Hence, construction is the implementation of a codes, etc.
introducing new setup in CLQ to have Isolation design envisioned by architects and engineers. Since the service life of a facility is long, the anticipation
wards, ICU ward and many other essential In both design and construction, numerous of future requirements is inherently difficult.
cabins to ensure workers safety operational tasks must be performed with a Because of technological complexity and market
variety of precedence and other relationships demands, changes of design plans during construction
among the different tasks. are not uncommon
INTERIM
CERTIFICATE &
PROGRESS
PAYMENT
In construction projects payments to a contractor are made through invoices (Interim
payments) including all relevant details about the quantities executed and the sums of
money to be earned. Each invoice has a certificate which is typically a summary page
showing the previous, current and total earnings in addition to deductions or discounts.
INTERIM
CERTIFICATE
•The most important aspect of these
decision-making powers relates to the
issue of certificates. In construction
industry, there are three main types of
certificates found in construction
contracts, namely interim certificates,
final certificates and certificates
recording an event. However this study
only focuses on the issue relating to the
interim payment and interim certificates.
Interim certificates exist simply as a
mechanism for confirming that an
installment of the consideration is due to
the contractor. Whichever method isused
to calculate the amount of money due,
an interim certificate is not conclusive
about anything. It says nothing about
quality of materials or workmanship, nor
does it indicate satisfaction with thework
done to date.
•Interim certificates exist simply as a
mechanism for confirming that an
installment of the consideration is due to
the contractor. Whichever method is
used to calculate the amount of money
due, an interim certificate is not
conclusive about anything. It says
nothing about quality of materials or
workmanship, nor does it indicate
satisfaction with the work done to date
INTERIM
PROGRESS
PAYMENT
•In Malaysia, the standard forms of
contract had provided clauses for the
payment application and certification.
The related payment clauses in respect
of the various conditions of contract in
use in Malaysia are as the following: In
PAM 2006 Sub- Clause 30.1, requires the
Contractor to submit sufficient details or
particulars to the Architect for him to
value and ascertain the works (including
materials and goods on site) and issue
interim certificate for Contractor‟s
entitlement to payment. The materials
and goods on site shall be reasonably,
properly and not prematurely delivered
with adequate protection against
weather or any other casualties
ARCHITECTURAL SITE PRACTICE
INTERIM CERTIFICATE & PROGRESS PAYMENT
SCI BUZZ > INDUSTRY >
WHO PREPARES WHAT IS INTERIM
INTERIM CERTIFICATE MALAYSIA?
PAYMENT
CERTIFICATE? •I nterim certificates provide a mechanism for the
client to make payments to the contractor before the
T he Housing Grants, Construction works are complete. The Housing Grants, Construction
and Regeneration Act stipulates that and Regeneration Act, states that a party to a
interim or stage payments are due to construction contract in excess of 45 days is entitled to
any party to a construction contract interim or stage payments.
that has a duration of more than 45
days. Therefore, almost all CERTIFICATE
constructions contain provisions for EXAMPLE
interim payments.
HOW OFTEN ARE
INTERIM
CERTIFICATES
ISSUED?
C ertificates generally result in
payment being made by the client
to the contractor. These certificates
can either be issued regularly during
the course of the works, such as
interim certificates (normally issued
monthly), or may signify that a
particular stage has been achieved,
such as practical completion
Technology Now | Issue 70 | 234
WHAT IS 27
IMPNAATYLEMARYEI MNS ITA ?I N
•Osborn's Concise Law Dictionary defined Interim
payment as: “A payment on account of any damages,
debt or other sum (excluding cost) which the
employer may be held liable to pay to or for the
benefit of the contractor.
INTERIM
PAYMENT IN
MALAYSIA
HOW ARE
C AP LIANCYTUMELERANI TMTESD ?
••The interim valuation is for all work
completed, not for the work completed in
that period. This means that the certified
interim payment is calculated by subtracting
7 0 the previous valuation from the current
valuation, less any deductions.
CERTIFICATE
OF PRACTICAL
COMPLETION
INTRODUCTION
◈The RIBA Plan of Work 2013 ◈Documentation that should be
suggests that: 'Practical issued to the client on certification of
Completion is a contractual term practical completion might include:
used in the Building Contract to Practical completion is referred to as
signify the date on which a project 'substantial completion' on some
is handed over to the client. The forms of contract, particularly in the
date triggers a number of United States.
◈contractual mechanisms. a)A draft building owner's manual.
Practical completion is referred b)A building user's guide.
to as 'substantial completion' on c)The health and safety file.
some forms of contract, particularly d)The building log book.
e)A construction stage report.
◈in the United States.
The contract administrator ◈Once the certificate of practical
certifies practical completion when
all the works described in the completion has been issued, the
contract have been carried out. client takes possession of the works
Certifying practical completion has
the effect of: ◈for occupation.
a)Releasing half of the retention There is no absolute definition of
(an amount retained from practical completion and case law is
payments due to the contractor to very complex. There is some debate
ensure they complete the works). about when practical completion can
b)Ending the contractor's liability be certified and whether it can be
for liquidated damages (damages certified where there are very minor
that become payable to the client (de minimis) items 'not affecting
in the event that there is a breach beneficial occupancy' that remain
of contract by the contractor - incomplete. A draft building owner's
generally by failing to complete the manual.
works by the completion date).
Signifying the beginning of the
defects liability period.
NOMADIC | 24
ARCHITECTURAL SITE PRACTICE
SITE PREPARATION
SCI BUZZ > SO, WHAT PRACTICINADULSTRISY >SUES DO I NEED
TO CONSIDER?
WHY IT IS SO
IMPORTANT? T he requirements for practical completion vary from project to project. Disputes as to
whether or when practical completion has been achieved are common but can be
P ractical completion of a project avoided by:
is of huge commercial and legal
importance. The date of practical ◈checking that the building contract is clear on when practical completion has occurred
completion (usually stated in a
practical completion certificate) is (including where practical completion is deemed to have occurred); and
the date on which the operational
period of a project will start. ◈keeping a paper trail documenting acceptance of possession, partial possession or
◈It also has a number of contractual agreement for early access, as appropriate.
Finally, if you are amending a standard form building contract to make the test for
and legal implications: achieving practical completion more stringent, you should consider whether this is in the
a)It ends any right to liquidated best interests of the employer; a stringent mechanism can sometimes backfire.
damages in respect of a delay to the
works; DETAIL > WHO ISSUES
b)The employer must pay a CERTIFICATE OF
percentage of any retention monies HOW TO OBTAIN A PRACTICAL
(usually 50%) to the contractor; The CERTIFICATE OF COMPLETION IN
health and safety file. PRACTICAL MALAYSIA?
c)The “defects liability period” COMPLETION?
commences from practical
completion;A construction stage When the Contractor believes the Works are I N Malaysia, the Certificate of Completion and
report. practically complete, he must contact the
d)The risk of loss or damage to (and Compliance will be issued by a Principal
responsibility for) the works usually Engineer to request the Certificate.
transfers from the contractor to the Submitting Person (PSP).It also has a number of
employer; ◈The Engineer must answer in 14 days and if
e)The contract administrator may contractual and legal implications:
not instruct the contractor to carry he feels the Works aren’t yet practically
out variations after practical ◈The PSP may be a professional architect,
completion; and complete, he must give the Contractor a list of
f)It may trigger other consequences professional engineer or building draughtsman
under the contract (such as the “final the work which must be done to make the
account” provisions under a JCT registered with the Board of Architects Malaysia
contract). Works complete.
(LAM).
◈Once the Contractor has properly completed
◈The PSP must be registered with their respective
boards under the law relating to their field, such as
the work on the Engineer’s list, the Engineer the Architects Act 1967 or Registration of Engineers
should issue the Certificate of Practical Act 1967 (Revised 2015).
Completion.
ARCHITECTURAL SITE PRACTICE
SITE PREPARATION
SCI BUZZ > IF I DO NOT HAVE A MAIN CONTRACTOR (CONSTRUCTION
MANAGEMENT ROUTE) AM I RESPONSIBLE FOR PRACTICAL
AS A DEVELOPER (EMPLOYER), COMPLETION OR IS THE RESPONSIBILITY SPREAD ACROSS
HOW DO I PROVE THAT THE SUBCONTRACTORS THAT I EMPLOY?
PRACTICAL COMPLETION HAS
NOT BEEN MET?
T o achieve Practical Completion, W here the construction management route is employed for the project, the Construction
the Contractor must comply with Manager should manage the practical completion process
clause 2.37 (JCT Design and Build) Each individual trade contractor will need to confirm back to the Construction manager when
and provide the Employer with their section of the works are” complete”. From this, the construction manager will then issue a
contractor’s design documents and certificate of practical completion and accompanying payment notice to each of the trade
any related information specified in contractors as and when required
the Contract that show or describe Once all subcontractors have completed their works, the project will be “practically complete”
the work (i.e. As Built Drawings, O & and it is the Construction Manager’s responsibility to arrange for final inspection from building
M Manuals which show the control (or approved inspector) and for the building regulations compliance certificate
operation and maintenance of the
works). The Contractor must also DO I MONITOR PRACTICAL COMPLETION
comply with the obligations placed THROUGHOUT THE PROJECT AND WHAT DO I
upon him under the CDM NEED TO RECORD IN ORDER TO DO SO?
regulations cl.3.16 (JCT) which
require that the Contractor carries D uring a project, progress against the The Contractor might monitor progress by
out all Duties as Principal Designer anticipated completion date can and “marking-up”, at monthly intervals, the site
and Principal contractor should they should be monitored. The Contractor may copy of the master programmes to
be so named as these within the be requested or obliged to submit master indicate the actual progress of all activities
particulars. programmes at regular intervals within the shown thereon. If any circumstances arise
Practical Completion requires sign construction periods, showing items of that may affect the progress of Works, the
off from the Local Authority Building work both on and off critical paths. Delay Contractor shall put forward proposals or
Control or the Approved Inspector. to Practical Completion will only result as take other action as appropriate to
This is a fit for occupation certificate a delay to items of work that are on the minimise any delay and to recover any lost
and a fire life and safety certificate Critical Path. time. This may be accompanied by
will also be required. All services marked up drawings and photo evidence.
should be tested and commissioned That said, the Employer and Contractors
with all relevant certificates QS will also review the programme on a
provided. Acoustic testing and air regular basis as part of the Application for
tightness tests should be carried out Payment Cycle.
to ensure compliance with any
statutory regulations or any
requirements as set out within the
Contract Documents.
Technology Now | Issue 70 | 234
CONCLUSION
AND
TAKEAWAY
THOUGHTS.
Judgments in case law provide a
reminder to the definitive effect and
meaning of Practical Completion within
a Construction Contract. Unless
amended, Practical Completion is solely
at the discretion of the Employers Agent
or the Contract Administrator and it is
awarded based on their professional
opinion along with compliance of certain
contract clauses.
When deciding whether Practical
Completion has been achieved or not,
start with the contract: does this explicitly
provide a definition as to what Practical
Completion is? If so, this is the basis for
awarding Practical Completion.
1.The requirement for the release of half
of the retention, which will be in addition
to the latest application for payment
2.The obligation to insure the works as
this passes from Contractor to Employer
upon Practical Completion
Practical completion is the date at which
the rectification countdown begins. Any
“outstanding / Snagging” items are the
responsibility of the Contractor to
complete. However, there may be times,
say when a retention bond is used, that
the contractor has little or no “skin in the
game” to warrant a return visit to
complete any outstanding works
CERTIFICATE
OF NON-
COMPLETATION
(CNC)
The certificate of non-completion gives
formal written notice to the contractor
that they have failed to complete the
works described in the contract by the
completion date that was last agreed
(the original completion date may have
been adjusted during the course of the
works).
•
The date for completion of construction
works (or dates for completion of
sections of the works) is generally set out
in the contract particulars. However, it is
not uncommon for delays to cause the
completion date to be missed, that is,
the works are not complete, and so a
certificate of practical completion cannot
be issued by the date for completion.
Where the client is responsible for the
delay, an extension of time may be
granted, the completion date adjusted,
and the contractor may be entitled to
claim loss and expense.
Where the contractor is responsible for
the delay, the client may be entitled to
claim liquidated and ascertained
damages (at a rate set out in the contract
particulars).
DELAY BY .DELAY BY EMPLOYER
CONTRACTOR
Re15 relevant events under clause 25.8
Reasons :
Not having sufficient force or plant on site Contractual Effects
Not having necessary materials when •Contractor entitlement to claim for EOT
needed •Contractor entitle to claim for loss and
Poor site management/ co-ordination/ expense
experience •Employer cannot impose LD because is own
Failure to pay workers or sub-contractors fault
•If delay is serious, contractor can terminate
Contractual Effects his employment
Not entitle to claim for Extension Of
Time (EOT)
No reimbursement for loss and
expense
Employer can be compensated by the of
LD
Employer may terminate the
contractor’s employment if delay is too
long
DELAY BY THIRD DAMAGES FOR NON-
PARTIES (NEUTRAL COMPLETION
EVENTS)
1.Liquidated Damages and Certificate of Non-Completion
•Weather, Act of God, Natural if the Contractor fails to complete the Works by the Completion Date,
Justices and the Architect is of the opinion that the same ought reasonably so
•9 relevant events to have been completed, the Architect shall issue a Certificate of Non-
•Not the fault of contractor or Completion.
employer
•They have to bare with their own The Agreed Liquidated Damages amount a genuine pre-estimate of
reponsibilities the loss and/or damage to be suffered by the Employer if the
Contractor contravenes Clauses 21.0 and 22.0. The parties agree that
Contractual Effects by signing the Contract, the Contractor shall pay to the Employer the
•Contractor entitlement to EOT said amount, if the same becomes payable without the need for the
•Contractor not entitle to claim for Employer to prove its loss and/or damage unless otherwise proved
loss and expense by the Contractor
•Employer cannot impose LD
• Employer and contractor should Certificate of Non-Completion revoked by subsequent Certificate of
share the burden of delay Extension of Time
Architects issue Extended Time Certificates under Clauses 23.4, 23.9
Continue reading at next page > and 23.10 which have the effect of setting a Completion Date later
than the date stated in the previously issued Certificate of
Incomplete, the certificate shall have the effect of revoking the
previously issued Certificate of Incomplete. shall review the amount
of Liquid Indemnity which he is entitled to retain. If the amount of
Diluted Compensation retained exceeds the amount eligible to be
retained by the Employer, shall repay the excess amount to the
Contractor within the Certificate Honor Period from the date of the
latest Extension of Time Certificate. If the Works are not completed
on the Completion Date specified in the Extension of Time Certificate,
the Architect shall issue a Certificate of Incomplete
PREPARATION
AND SUBMISSION
OF CERTIFICATE
OF NON-
COMPLETION
Some basic rules must be complied with in the preparation of the Certificate of Non-Completion as follows:
a) All particulars in the Certificate must be correctly inserted. Particulars of the Contract and the Contractor inserted in the Certificate must
be the same as those in Contract
Document. No space allowed for insertions in the Certificate, except the date of the
same, shall be left blank. The date of the Certificate shall be the date on which the
officer empowered to do so signs the Certificate.
The periods of coverage of the insurance policies must be extended to the expected date of completion of the Work.
When submitting the Certificate of Non-Completion for approval, particulars of the Contract and other information must be provided on a
standard form. In addition, the following must be submitted together:
A statement by the recommending officer as to whether he has studied the
circumstances of the case in depth and assessed the ability of the Contractor to proceed and complete the Work; and whether in his
opinion, imposition of LAD will ensure completion of work the soonest and his reasons for thinking so.
vA description of the progress of work achieved by the Contractor and the work programme of the balance of work may be completed.
Information whether there has been any cause of delay for which Government to be responsible for and if so, whether a reasonable
extension of time has been granted and whether there is any foreseeable cause of delay for which the Government may be responsible.
EXTENSION OF TIME
AND LIQUIDATED
ASCERTAINED
DAMAGE (LAD)
THE LIQUIDATED ASCERTAINED DAMAGES (LAD) CLAUSE IS AN
IMPORTANT PART OF A CONSTRUCTION CONTRACT. IT'S
DESIGNED TO COVER ANY PREDICTED LOSSES WHICH MIGHT
OCCUR AS A RESULT OF A PROJECT OVERRUNNING OR BEING
DELAYED THE LIQUIDATED ASCERTAINED DAMAGE (LAD) CLAUSE
IS AN IMPORTANT PART OF A CONSTRUCTION CONTRACT. IT'S
DESIGNED TO COVER ANY PREDICTED LOSSES WHICH MIGHT
OCCUR AS A RESULT OF A PROJECT OVERRUNNING OR BEING
DELAYED.
AN IMPORTANT THING TO REMEMBER IS THAT LAD IS NOT A
FINANCIAL PENALTY AND NEITHER IS IT IMPLEMENTED AS A
PUNISHMENT FOR A BREACH OF CONSTRUCTION CONTRACTS.
IT’S ACTUALLY A PRE-AGREED PART OF THE CONTRACT ITSELF
BETWEEN AN EMPLOYER AND CONTRACTOR. NOW, IT’S FAIR TO
SAY THAT DELAYS CAN SOMETIMES OCCUR IN CONSTRUCTION
PROJECTS.
IT MIGHT BE THAT THERE'S A SOURCING PROBLEM WITH SOME
KEY MATERIALS. PERHAPS THERE WAS AN ACCIDENT IN
CONSTRUCTION THAT DELAYS THE ENTIRE PROCESS. THESE
THINGS DO HAPPEN.
AS SUCH, ENSURING THE FINANCIAL OBLIGATIONS OF SUCH
DELAYS ARE CLEAR AND RECORDED IS JUST A SMART PART OF
CONSTRUCTION CONTRACTS.
THIS CLAUSE SETS OUT A PREDETERMINED ESTIMATE OF ANY
LOSSES WHICH THE EMPLOYER IS LIKELY TO INCUR IF A PROJECT
OVERRUNS (READ: TAKES LONGER THAN THE AGREED DATE).
UNDER THE LAD CLAUSE, A SUM OF MONEY IS AGREED WHICH
WILL BE RECOVERED BY THE EMPLOYER FOR EVERY DAY OF
DELAY BEYOND THE AGREED UPON COMPLETION DATE.
THE MAIN
BENEFITS OF
LADS ARE THAT:
•they become payable upon the occurrence of the specified breach and
the employer is not required to prove that it has suffered any loss;
•they provide commercial certainty for both parties and they effectively
act as a cap on the contractor's liability for the specified breach;
•they reduce the need for costly and time-consuming court
proceedings (or other dispute resolution mechanisms) to ascertain
whether general damages are payable and the level of such damages;
and
•they act as an incentive for the contractor to desist from committing
the specified breach.
LAD is an important part of construction law in Malaysia, as it helps to
avoid unnecessary disputes around project overruns.
By agreeing in advance what that cost might be, it provides clarity to
both employers and contractors on the financial cost of a project
overrun.
On the side of the employer, it means they’re confident that they
won’t lose out financially if the project does go beyond its agreed
completion date.
The agreed contract means that at the point where this claim
crystalises, it is already contractually agreed by both parties.
From a contractor's point of view, they understand in advance what
the costs to their own business will be if they fail to deliver on
time. That provides a clear financial calculation as to the potential cost
of overruns.
HOW LAD
APPLIES
LAD is not an automatic and legally required part of all
construction contracts. Although, thankfully in standard contract
law, it is almost always included. If you’re buying a new
development property in Malaysia, then the likelihood is that a
LAD clause will appear in the Sale and Purchase Agreement
(SPA).
Claiming LAD should be a fairly simple process. If a project runs
beyond the agreed completion date before possession is given,
then the clause is triggered. A letter of demand to the developer
stating the clause and agreed LAD rate should then result in the
employer receiving payment.
•This will essentially be a clause that outlines the process and
financial implications if the project delivery is delayed.
•If you’re buying a strata-titled property in Malaysia for example,
then Schedule H, Clause 25 of the prescribed SPA notes that:
•“25. (1) Vacant possession of the said Parcel shall be delivered to
the Purchaser in the manner stipulated in clause 27 within thirty-
six (36) months from the date of this Agreement.
•(2) If the Developer fails to deliver vacant possession of the said
Parcel in the manner stipulated in clause 27 within the period
stipulated in subclause (1), the Developer shall be liable to pay to
the Purchaser liquidated damages calculated from day to day at
the rate of ten per centum (10%) per annum of the purchase
price from the expiry of the period stipulated in subclause (1) until
the date the Purchaser takes vacant possession of the said
Parcel.”
CALCULATING
THE RATE OF
LADS
The cost of Liquidated Ascertained Damages can vary by contract, although there is a
standard calculation for a SPA which can help guide your understanding.
In general terms, LAD takes into account a whole range of potential financial losses
which a client
might occur if the project is not delivered on time, such as:
Loss of rent
Loss of income
Storage costs
Additional rental costs
Fees or fines from third parties
Financing costs for loans etc
These are all foreseeable costs based on financial calculations which are made, given
the promised completion date.
For example, a developer has rented out a commercial space to a third party from
the 1st of January, but the project overruns by six months, then they have lost out on
six months of agreed rent. Those are the type of calculations which LAD is designed
to cover.
The standard clause stipulates that the developer shall owe compensation
equivalent to 10% per annum of the property purchase price. Here’s a simple
example:
SPA date = 01/07/2016
Completion date = 30/06/2019
Actual delivery of vacant possession = 31/08/2019
Days of delay (from 30/06/2019 to 31/08/2019) = 63 days
LAD amount:
Purchase price (RM100,000) x interest (10%) x 63 days = RM1,726.03
Divided by 365
ARCHITECTURAL SITE PRACTICE
SITE SUPERVISION
ARCH BUZZ INDUSTRY >
W> HAT IS THE WHAT IS AN
PREVENTION EXTENSION OF TIME?
PRINCIPLE
W hat is an extension of time? An extension of time clause is
The doctrine of prevention (the an express contractual provision that contemplates the
prevention principle) allows the law adjustment of the contract completion date in defined
to reflect reality. If the customer was circumstances i.e. an extension of time is granted when the
to delay the manufacturer or progress of the work has been impacted because an
supplier in completing the work, the excusable delaying event has occurred
customer could not then rely on the
manufacturer’s failure to complete DETAIL >
the work by the contractual
completion date as though the
customer’s own default had never
happened. In effect, a customer
cannot take advantage of its own act
of prevention.
A more far-reaching aspect of the
doctrine is in consequence of an act
of prevention: time is rendered at
large, and the liquidated damages
provision is no longer operative.
WHAT IS ‘TIME AT WHAT ARE THE TYPICAL GROUNDS FOR
LARGE?’ SEEKING AN EXTENSION OF TIME?
T ime will become ‘at large’ if a manufacturer or There are two types of delay for which the manufacturer may seek to claim for an extension of time:
•Delays caused by the customer; and
supplier has been prevented from completing works •Other delays that are not the manufacturer’s responsibility under the contract.
by the contractually specified date(s) as a result of Most contracts will include a comprehensive list of events which entitle the manufacturer to make an
actions taken by the customer and where the application to the customer to extend the specified date(s).
contract does not contain an operable mechanism for These typically include:
adjusting the specified dates and completion date (1) variations
(awarding an extension of time). (2) changes in law
(3) failure for customer to approve documentation
In the absence of an extension of time clause, the (4) delays caused by nominated suppliers
party who carries the contractual risk for an event (5) infrastructure availability (or lack of)
which has prevented completion is responsible for (6) exceptionally adverse weather
the consequences. Therefore, if the customer is (7) force majeure and
responsible for an act of prevention, the specified (8) acts of prevention by the customer.
date will lapse (time becomes at large) and the
customer can no longer deduct liquidated damages. Technology Now | Issue 70 | 234
However, it is important to note that the
manufacturer will still be obliged to complete the
works within a reasonable time.
HOW DO I 27
TEA IXPMTPEEL ?NY S IF OO NR OA FN
First, ascertain that an extension of time provision is included in your contract. When applying for an
extension of time, the next step for the manufacturer or supplier is to notify the customer that a delay
event has or will occur which it considers will cause delay. The delay event will mean works overrun
beyond the delivery date and the manufacturer or supplier must detail the estimated delay period.
The wording within the contract will stipulate the amount of detail required in the notification as to the
cause and effect of the delay. Some contracts require the notice to include the full details of the delay
event, along with an estimate of the delay’s impact on progress of the works. Other contracts will simply
require a notice to alert the customer of the cause of delay and provide further details in due course
E XATDNAEADSNMCSLAEIIORGQNTEUAI(OIDLNFAAETDTDEI) DM E
Once the manufacturer has issued notification of the delay event, the H OW EASNHNSOI U L D
customer should consider the application and respond. Under the EXT O N
contract, the customer should be required to notify the manufacturer of ACOSLSFAE ITSM
IS ME BDEE?
its decision within a period stipulated under the contract.
The response should indicate whether the customer agrees or disagrees
in awarding an extension of time to fix a new completion date. The
decision to award the extension of time should be based on the terms of
the extension of time provisions in the contract. If it is not, the decision
should be challenged.
If a certain delaying event is not covered within the extension of time
provisions, a manufacturer or supplier may be able to rely on the
7 0prevention principle in seeking an adjustment to the contractual
completion date.
WHAT IS
DEFECT
LIABILITY
PERIOD
The Defect Liability Period (“DLP”) is
defined as a period where the Developer
is responsible to fix any defects and it
begins from the date the Homeowner
received delivery of vacant possession
and keys of the property.
CLASSIFICATI Words Sven Bannuscher
ON OF Photography Svenler
DEFECTS Styling Madi Ross
Patent Defect: The defect that can be
discovered by normal examination or
testing. It’s discoverable in a structure
that is apparent to reasonable inspection
i.e roof leak, foundation crack. Normally,
defects are readily apparent to the naked
eye and are therefore capable of being
assessed and measured relatively easily
and rectified.
u
Latent Defect: The defect that is not
discovered by normal examination or
testing which manifests itself after a
period of time. It is something that is not
easily discoverable and only becomes
apparent at some later date or upon an
investigation of some consequential
effects caused by the defect.
u
CONSTRUCTION
DEFECTS
Construction defects are inevitable in
construction project delivery and are
usually contentious between the
employer and the
contractor/subcontractor. It is the
unacceptable quality of a project which
can be identified and remedied. It also
means as work that fell short of
complying with the express description
or requirement of the contract, especially
any drawing or Specification together
with any implied term and condition as
to its quality, workmanship, durability,
aesthetic, performance, or design.
Therefore, the project faces the defect
work generally resulting in a structure
that cannot perform its original intended
roles.
DUTIES OF
CONTRACTOR
In a construction contract, contractor
undertaking to do work and supply
materials implies undertakes:
To do the work undertaken with care
and skill or as sometimes expressed
in a 'workmanlike a manner' To use
material of good quality. The
materials described expressly this will
mean good of their express 'free from
defect’
To use material of good quality. The
material is of good quality. The
materials described expressly this will
mean good of their express ‘’ free
from defect ‘’
That both the workmanship and
material will be reasonably ‘fit for the
purpose for which they are required
unless the circumstances of the
contract exclude any such obligation
Issuance of the certificates bring the
contractor’s obligation to end and
only defects due to workmanship and
materials not in accordance with the
contract are required to be made
good at the contractor cost .
DEFINITION OF
C E R T I F I C A T E O F 27
MAKING GOOD
DEFFECT (CMGD)
Certificate(s) of Making Good Defects means a notice
issued by the Employer's Representative pursuant to the
Building Contract and/or the Bio Contract (as the case
may be) that all defects in the Basebuild Works and/or
Bio Works (as the case may be) (and any other works
referred to in such notice) appearing during the defects
liability period specified in the Building Contract and/or
the Bio Contract (as the case may be) have been made
good
OTDTFHHE EEFMECAPCKEUTRIRSNTPIG(OFCSIMGCE GOAODOT FE)D
During this period, the client reports any defects
that arise in the works to the contract
administrator who decides whether they are in
fact defects (i.e. works that are not in
accordance with the contract), or whether they
are maintenance issues. If the contract
administrator considers that they are defects,
then they may issue instructions to the
70
contractor to make good the defects within a
reasonable time
ARCHITECTURAL SITE PRACTICE
SITE SUPERVISION
ARCH BUZZ INDUSTRY >
W> HAT IS A DIFFICULTIES SURROUNDING
DEFECT PERIOD? PRACTICAL COMPLETION
A defects liability period is a I t is important to note that the defects liability
period of time following practical period is not a chance to correct problems apparent at
completion during which a practical completion, it is a period during which the
contractor remains liable under the contractor may be recalled to rectify defects which
building contract for dealing with appear. If there are defects apparent before practical
any defects which become apparent. completion, then these should be rectified before a
A defects liability period is usually a certificate of practical completion is issued.
period of around six or 12 months
but it can vary depending on the
contract used.
WHAT ARE
INTERIM
CERTIFICATES?
I nterim certificates provide a DETAIL >
mechanism for the client to make
payments to the contractor before PARTICULAR CIRCUMSTANCES
the works are complete. The RELATING TO THE CERTIFICATE OF
Housing Grants, Construction and MAKING GOOD DEFECTS
Regeneration Act, states that a party
to a construction contract in excess I f the contractor, having been given the
of 45 days is entitled to interim or opportunity to rectify defects, fails to do so
stage payments. within a reasonable time, they may be in
breach of contract. In this situation others may
Technology Now | Issue 70 | 234 be employed to rectify the defects, and the cost
of such works deducted from the contractor's
retention.
ARCHITECTURAL SITE PRACTICE
SITE SUPERVISION
ARCH BUZZ INDUSTRY >
>
WHAT ARE THE
WHAT IS FINAL COMMON BUILDING
CERTIFICATE IN DEFECTS?
CONSTRUCTION
? D amaged roofing and blocked guttering. Cracked roof
tiles or damaged 'pointing' (the cement sealant along
The final certificate is certification the roof joins) can leave your roof and ceilings exposed
by the contract administrator that a to water damage and flooding.
construction contract has been fully • Timber Rot. •
completed. It is issued at the end of Cracking. •
the defects liability period and has Electrical.
the effect of releasing all remaining • Stumps / subfloor framing.
money due to the contractor, • Rising Damp.
including any remaining retention
PARTIAL OCCUPATION
Certificate of Partial Occupation. (within 7 DEFECT LIABILITY PERIOD
days) ii. Start of DLP for parts occupied
iii. Certificates of completion of making good D eemed to have commenced on the date on which the client (Government)
defects (relevant parts) shall have taken possession and occupied the works.
iv. Reduction in LAD 1. Completion of works – issuance of CPC 2. Sectional completion of works –
v. Default in remedying defects v. Diminution issuance of CPO Completion of Works
in value of works i. Issuance of Certificate of Practical Completion (CPC)
vi. Insurance (contractor to notify insurer) vii. ii. Completion of outstanding works and remedying defects.
Performance Bond (released after CMGD for iii. Default in remedying defects
whole works) iv. Diminutions in value of works
v. Certificates of completion of making good defects
S.O. : issue instructions requiring any defects,
shrinkages or other faults appearing within
DLP due to materials or workmanship not in
accordance with the Contract. Contractor :
obliged and liable to rectify defects that
appear between the period the Certificate of
Practical Completion (CPC) is issued and the
expiry of the DLP. In General : Instruction for
rectifying defects, shrinkages or other faults
can no longer be issued after 14 days from
expiry of the DLP. Unless otherwise stated in
the Contract
Technology Now | Issue 70 | 234
P FR OO RT E YCOT UI OR N 27
H FTOOIMMRDEEE:BFPUCEEIRCRLITDITOSII NCD GAS L
COMPLETION OF
BUILDING WORKS
Establishing the date that building works are completed is an essential first
step when ascertaining the end date to commence proceedings in respect of a
building defect. For new buildings in strata schemes completion of building
works occurs on the date that an occupation certificate is issued. If an interim
occupation certificate is issued completion will occur on that date, and not the
date of a later final occupation certificate. For non—strata buildings, the
completion date can be difficult to ascertain with precision. Due to the way
completion is defined in the Home Building Act 1989 prudent homeowners
should adopt a position that the assumed date for practical completion could
be up to 12 months prior to the issuance of an occupation certificate.
C O NDTERFAE CC TT U A L
L IPAE BRIILOI DT Y
Building contracts typically contain a defect
liability period in respect of building works
that is usually between 12 to 24 months from
practical completion of the building works. In
NSW, a contractual defects liability period
cannot remove or limit rights to a statutory
warranty. Typically, only a party to a building
contract will be able to bring a claim pursuant
70
to a defect liability period and successors in
title will not be able to bring a claim.
THE
CERTIFICATE OF
COMPLIANCE
COMPLETION
WHAT IS THE CCC?
the CCC is a certificate which provides
final sign-off on construction of a
building. The CCC is completed by an
industry professional with an overview of
the construction, known as the Principal
Submitting Person (PSP).
ARCHITECTURAL SITE PRACTICE
SITE SUPERVISION
ARCH BUZZ INDUSTRY >
T>HE CCC IMPORTANT OF THE
CCC
T his certificate is an official
recognition that the building is fit for I t ensures the safety of your house’s occupants and
the purpose it was built for It’s a can be used to determine if your house is in a livable
mandatory self-certified document condition.
and enforced under the Street,
Drainage and Building
(Amendment) Act 2007.
DIFFERENCE DETAIL >
OF CCC AND
CFO RESPONSIBILITIES PSP
CFO it was deemed to be Supervise the construction and completion of buildings for
inefficient. The process also required ensure construction is in accordance with the approved plan
the authorities to visit the site and Ensure the building has been 'constructed and completed with
give their approval to it. accordingly 'as prescribed and according to plan
approved building
CCC is a more efficient and self- Ensure the building is safe and livable
regulated process where the sign-off
is shared amongst the Principal
Submitting Person (PSP)
THE PSP
Principal Submitting Person (PSP)
terdiri daripada sekumpulan
profesional termasuk arkitek
profesional, jurutera dan pelukis
bangunan.
Technology Now | Issue 70 | 234
CONCLUSION
The term ‘best practice’ (sometimes used
interchangeably with ‘good practice’) refers to
the method or technique by which an activity is
carried out and relates to certain standards that
have been established in terms of quality,
ethics, regulations, benchmarking, and so on.
The best practice is a desired result that is
often developed through experience and
research and is accepted as being a better
option other alternatives. As such it becomes a
standard way of carrying out tasks or complying
with requirements. By committing to follow
best practice, an individual or organisation is
agreeing to use the widely-accepted and
approved knowledge and technology available
to ensure a good outcome.
In the construction industry, best practice
is commonly defined by standards, which are
published documents that are intended to
define the common specifications, methods
and procedures that are to be used. By
establishing common standards, greater
reliability and consistency is ensured in terms of
the quality, compatibility and compliance of
the particular product, service, material, and so
on.