In Post-Final Completion, what actions may the Owner take?

In Post-Final Completion, what actions may the Owner take?

• A. File claims for latent defects
• B. Terminate the contract
• C. Cancel the warranty
• D. Cease all payments

Answer: (A)

In Post-Final Completion, the main idea is that the owner still holds remedies for latent defects under the project’s warranty or defect liability period. Latent defects are hidden problems that weren’t discoverable during construction or at handover. Because these issues may appear after occupancy, the contract typically requires the contractor to repair or remediate them at no additional cost during the warranty period. So, filing claims for latent defects is the proper action to trigger those repairs or compensation. Other options don’t fit this stage: terminating the contract is a remedy tied to performance issues during construction, not after final completion; canceling the warranty isn’t a standard owner remedy and would remove protection; ceasing all payments isn’t a recognized or appropriate response to latent defect claims and would create contractual violations.

In Post-Final Completion, the main idea is that the owner still holds remedies for latent defects under the project’s warranty or defect liability period. Latent defects are hidden problems that weren’t discoverable during construction or at handover. Because these issues may appear after occupancy, the contract typically requires the contractor to repair or remediate them at no additional cost during the warranty period. So, filing claims for latent defects is the proper action to trigger those repairs or compensation.

Other options don’t fit this stage: terminating the contract is a remedy tied to performance issues during construction, not after final completion; canceling the warranty isn’t a standard owner remedy and would remove protection; ceasing all payments isn’t a recognized or appropriate response to latent defect claims and would create contractual violations.