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Defects certificate meaning

What does Defects certificate mean?
A defects certificate is the formal confirmation, under a building contract, that the contractor has made good defects, shrinkages or faults notified during the defects liability/rectification period. It is usually issued by the architect/contract administrator or employer’s agent on traditional or design and build forms (JCT/SBCC/RIAI), or by the Supervisor under NEC contracts (there called the Defects Certificate). The term is not defined in legislation; its meaning and effect are set by the relevant contract conditions and any applicable case law on certification. Typical features include: - Issue after expiry of the rectification period and completion of instructed making good (NEC may issue listing any remaining notified defects). - Acting as a contractual trigger for release of the second moiety of retention and influencing final certificate/final account timing. - Recording completion of rectification obligations without waiving rights in respect of latent defects, negligence or other surviving liabilities, nor varying limitation periods. Usage and practical significance are broadly consistent across England and Wales, Scotland, Northern Ireland and Ireland, subject to procedural and terminology differences between standard forms. Also known as a certificate of making good defects. Legal professionals search for it in connection with defects liability period, retention release, final account and construction...
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NEWS
Court of Appeal (England and Wales): Omission of indemnity certification does not invalidate bill of costs; default costs certificate stands; CPR 3.10 applies (Duffy v Birmingham City Council)

Duffy v Birmingham City Council [2026] EWCA Civ 146 What are the practical implications of this case? Failure to meet compulsory rules regulating the format or contents of a costs bill does not, of itself, render it void. Even where the mandatory certification confirming compliance with the indemnity principle is absent, a signed bill may nonetheless be validly served and remains sufficient to commence detailed assessment proceedings. Accordingly, paying parties ought to engage with the detailed assessment procedure rather than presuming an alleged irregularity is fatal. Any contention about the bill’s structure or contents should be articulated in Points of Dispute and served within the prescribed time limits. Where a default costs certificate has been obtained, the simple absence of an express indemnity certification will not, without more, make the bill invalid so as to justify setting the certificate aside as of right. Receiving parties should diligently check bills both pre‑service and post‑service and take prompt steps to correct any defects or omissions identified, ensuring any...

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NEWS
England & Wales and Scotland property disputes update: Renters’ Rights Act, leasehold reform judicial review upheld, Awaab’s Law duties, key landlord and tenant, service charge, insolvency and contractual cases

In this issue: Key developments and horizon scanning Disputes and remedies Repairing obligations and dilapidations Service charges Enforcing security and property insolvency Contractual issues Property disputes in Scotland Additional Property Disputes updates LexTalk®Property Disputes: a Lexis®Nexis community Daily and weekly news alerts New and updated content Dates for your diary Trackers Key developments and horizon scanning Renters' Rights Bill receives Royal Assent On 27 October 2025, the Renters’ Rights Bill gained Royal Assent, becoming the Renters’ Rights Act 2025 (RRA 2025). Among its reforms, RRA 2025 scraps Section 21 ‘no fault’ evictions and introduces a streamlined tenancy model, under which all assured tenancies are periodic. Further headline measures include establishing a Private Rented Sector Ombudsman with binding dispute resolution powers and creating a comprehensive Private Rented Sector Database to strengthen regulation. The Act also mandates applying both the Decent Homes Standard and Awaab’s Law (see below) to the private rented...

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NEWS
UK Private Client update: trusts rectification, LPA certificate duties, capacity procedure, Finance Bill and HMRC changes, BPR decision, ‘failure to prevent fraud’, digital assets bill, Harrow cy-près

In this issue: Trusts Powers of attorney and advance decisions Older and vulnerable clients UK taxation for private client Updates to HMRC Manuals Tax avoidance, evasion and non‑compliance Budgets and Finance Bills Family businesses and ownership structures Digital assets and cryptoassets Charity and philanthropy Contentious trusts and estates Scotland, Wales and Northern Ireland Question of the week Daily and weekly news alerts LexTalk®Private Client: a Lexis+® community New and updated content Dates for your diary Trackers Latest Q&As Useful information Trusts Rectification used to validate scheme amendments despite defects in their execution (Ballard v Buzzard) In Ballard v Buzzard [2024] EWHC 2765 (Ch), a pensions matter, the High Court concluded that the amending deeds were effective notwithstanding absent trustee signatures, on the basis that the relevant signature blocks could be rectified, in particular those of Mr Beauchamp... For the 2001...

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PRACTICE NOTES
England: Leaseholder deed of certificate under the Building Safety Act 2022—requests, deadlines, form, execution, evidence, service and qualifying lease presumption

This ‘how to’ guide considers how to serve a leaseholder deed of certificate (LDC) under the Building Safety Act 2022 (BSA 2022) The service charge protections in Schedule 8 apply solely to ‘qualifying leases’ under BSA 2022, section 119(2) (subject to one exception). An LDC verifies whether the lease meets section 119(2)(d). This ‘how to’ guide outlines the LDC’s format and service, the supporting evidence required, and any relevant deadlines. Under section 119(2) of the BSA 2022, a lease is ‘qualifying’ only if conditions (a) to (d) are all satisfied. Conditions (a) to (c) are relatively clear: broadly, it must be a long lease (over 21 years) of a dwelling, the tenant must be liable for a service charge, and the lease must have been granted before 14 February 2022 — see Practice Note: Building Safety Act 2022—landlord and tenant issues — Remediation of historic defects—definitions. Condition (d) of section 119(2) is met if, as at 14 February 2022, the: dwelling was the relevant tenant’s (i.e....

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PRACTICE NOTES
Building Safety Levy (England) Regulations 2025: application, exemptions, area rates and brownfield discounts; named client liability, payment mechanics and completion certificate enforcement for residential developments

On 19 November 2025, the Building Safety Levy (England) Regulations 2025 (SI 2025/1236) were made, establishing a charge on specified new or enlarged residential schemes, under powers in the Building Safety Act 2022 (BSA 2022). The revenue will help fund the remediation of building safety defects across England. The Regulations commence on 1 October 2026. They define when liability to pay arises, identify who must pay, and set out the method of calculation. This Practice Note explains the context for the regime and highlights its principal features. Background to the levy The creation of the building safety levy (BSL) through these Regulations sits within the UK government’s response to the 2017 Grenfell Tower Fire. It embodies the view that leaseholders ought not shoulder the expense of remedying legacy fire safety issues, nor should the taxpayer be placed under excessive strain, and that the development industry should contribute fairly to making buildings safe. In support of this, the government has begun a number of measures to make specified developers...

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PRACTICE NOTES
Building Safety Act 2022 (England): Landlord and Tenant Duties, Service Charge Limits, Leaseholder Protections, Certificates, and Remediation/Contribution Orders

The government brought the Building Safety Bill (the Bill) before Parliament in July 2021, aiming to act on the recommendations and principles set out in Dame Judith Hackitt’s Independent Review of Building Regulations and Fire Safety, and to tackle pressing building safety concerns exposed by the Grenfell Tower fire in July 2017. The government said the Bill would deliver the most significant overhaul of building safety regulation in a generation. The Bill secured Royal Assent on 28 April 2022, becoming the Building Safety Act 2022 (BSA 2022). BSA 2022 makes fundamental changes to the legal and regulatory framework for building safety, intended to protect people in or around buildings and to raise building standards. Although, by virtue of BSA 2022, s 169(1), the Act extends to England and Wales, the parts of BSA 2022 addressed in this Practice Note do not apply in Wales (see BSA 2022 explanatory notes-Annex A-Territorial extent and application in the UK). Therefore, this Practice Note outlines the principal elements of BSA 2022 as they concern...

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PRECEDENTS
Conditional agreement for lease—developer landlord delivering major works: planning/funding, building contract and warranties, access and practical completion, tenant works/variations, measurement and contributions (England and Wales)

Date [ date ] Parties [ name of Landlord ], [ of OR incorporated in England and Wales (company registration number [ number ]) ], whose registered office is at [ address ] [ together with an address for service in England and Wales at [ address ] ] (the Landlord); [ name of Tenant ], [ of OR incorporated in England and Wales (company registration number [ number ]) ], with its registered office at [ address ] [ and an address for service in England and Wales at [ address ] ] (the Tenant); [ [ name of Guarantor ], [ of OR incorporated in England and Wales (company registration number [ number ]) ], having its registered office at [ address ] [ and an address for service in England and Wales at [ address ] ] (the Guarantor) ]...

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PRECEDENTS
Precedent Owner–Developer Property Development Agreement (England and Wales): planning condition, building contract, collateral warranties/nominations, CDM compliance, payment (HGCRA), liquidated damages, insurance, defects, profit share

Date [ date ] Parties [ name of Owner ] [ of OR incorporated in England and Wales (company registration number [ number ]) whose registered office is at ] [ address ] (Owner) [ name of Developer ] [ of OR incorporated in England and Wales (company registration number [ number ]) whose registered office is at ] [ address ] (Developer) 1 Definitions Adjudication Date – the day on which any adjudicator appointed under HGCRA 1996 to determine a dispute regarding an amount due to: (a) the Developer under this Agreement; or (b) the Building Contractor under the Building Contract; delivers their decision; [ Adverse Rights – any easement, covenant, right or other interest affecting the Property, the release, discharge or variation of which is reasonably required to assist the Works or the use and occupation of the Development; ] [ Adverse Rights Agreement – any document that gives legal effect to the release,...

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PRECEDENTS
Forward Funding Development Agreement (England and Wales): funded construction, approvals, building contract, letting, project account, valuation and developer’s profit

Date [ date ] Parties [ name of Fund ], of [ address ] or, alternatively, incorporated in England and Wales (company registration number [ number ]) with its registered office at [ address ] (the Fund) [ name of Developer ], of [ address ] or, alternatively, incorporated in England and Wales (company registration number [ number ]) with its registered office at [ address ] (the Developer) [ name of Guarantor ], of [ address ] or, alternatively, incorporated in England and Wales (company registration number [ number ]) with its registered office at [ address ] (the Guarantor) The parties identified above enter into this Agreement on the stated date, with roles and definitions to be applied throughout as set out herein…

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Q&As
Contractor adjudication to recover retention monies: case law

Retention Retention describes the portion of interim payments the employer withholds as security for the contractor’s future performance of its duties and to encourage the contractor to discharge those duties in full and properly. For further details, consult the Practice Note: Retention of payment in construction contracts. When retention is to be released to the contractor depends on the particular contract terms for the project. Typically, half of the retained sum is paid out at practical completion, with the balance thereafter following completion of any remedial works for defects reported within the defects liability period. Consequently, if these milestones are reached before the final certificate is issued, the contractor may have a right to seek payment of some or all of the retention...

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