Practical Completion

What triggers PC

PC is reached when the works are substantially complete — meaning the building can be safely used for its intended purpose. There may still be minor snags to complete, but no defects that prevent occupation. The contract administrator (architect or PM under JCT; project manager under NEC) issues the PC certificate.

On UK contracts, PC is rarely about everything being 100% finished. It's about being ready for handover, with outstanding snags scheduled for completion within the defects liability period.

What PC triggers contractually

PC starts the defects liability period (typically 12 months on JCT; varies on NEC). It triggers release of half the retention (the other half being released at the end of the defects period). It transfers the risk of damage to the client. It typically marks the end of the contractor's liquidated damages exposure for late completion. The contractor's presence on site reduces to defect-rectification only.

Common pitfalls

• Issuing PC under client pressure when the works aren't actually complete. Once PC is certified, the consultant cannot rescind it easily. Don't certify until the building genuinely meets the contractual definition.
• Snag list not properly defined at PC. The PC certificate should be accompanied by an agreed snag list with completion dates. Without it, the contractor can argue snags weren't their responsibility.
• Confusing PC with sectional completion. If a project allows sectional completion (e.g. ground floor early), each section has its own PC certificate. Mixing them up creates retention and defects-period confusion.

Related

• What is snagging? →
• What is a defects liability period? →
• What is a final account? →