The Construction Warranty Agreement is a critical document in Australian construction projects that provides assurance for the quality and durability of construction work, materials, and systems. This document becomes necessary upon completion of construction works or at the practical completion stage of a project, establishing the contractor's ongoing obligations for defect rectification and performance guarantees. It aligns with Australian construction law requirements, including state-specific building regulations, the National Construction Code, and consumer protection legislation. The agreement typically follows the main construction contract and operates alongside statutory warranties, providing additional protection for property owners. The Construction Warranty Agreement is particularly important in both residential and commercial construction contexts, where long-term performance and quality assurance are essential for stakeholder protection.
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1. Parties: Identification of the warrantor (construction company/contractor) and warranty beneficiary (property owner/principal)
2. Background: Context of the construction project, reference to the main construction contract, and purpose of the warranty agreement
3. Definitions: Detailed definitions of technical terms, relevant parties, and key concepts used throughout the agreement
4. Scope of Warranty: Specific works, materials, and systems covered by the warranty, including performance standards and quality requirements
5. Duration of Warranty: Warranty period, commencement date, and any conditions affecting the warranty term
6. Warrantor's Obligations: Specific commitments regarding repair, replacement, or rectification of defects, including response times and quality standards
7. Claim Procedures: Process for making warranty claims, including notification requirements, inspection procedures, and response timeframes
8. Limitations and Exclusions: Specific exclusions, limitations on liability, and circumstances that may void the warranty
9. Dispute Resolution: Procedures for resolving disputes related to warranty claims, including mediation and arbitration processes
10. General Provisions: Standard contractual terms including governing law, notices, assignment, and entire agreement provisions
1. Performance Standards: Detailed technical performance criteria, used when specific measurable standards need to be met
2. Maintenance Requirements: Specific maintenance obligations of the owner to maintain warranty validity, included when ongoing maintenance is crucial
3. Insurance Requirements: Insurance obligations of either party, included when specific insurance coverage is required to support the warranty
4. Transfer Rights: Terms for transferring warranty rights to subsequent owners, included for properties likely to be sold during the warranty period
5. Emergency Response: Procedures for emergency situations requiring immediate action, included for critical systems or high-risk components
6. Cost Allocation: Detailed breakdown of cost responsibilities for various types of repairs, included when cost-sharing arrangements are needed
7. Warranty Bond: Terms related to any security or bond provided to guarantee warranty obligations, included for high-value projects
1. Schedule 1 - Warranted Works: Detailed description of specific works, components, and systems covered by the warranty
2. Schedule 2 - Technical Specifications: Detailed technical requirements and standards that the warranted works must meet
3. Schedule 3 - Defects Register: Template or format for recording and tracking defects and remedial actions
4. Schedule 4 - Claim Form: Standard form for submitting warranty claims
5. Schedule 5 - Maintenance Schedule: Required maintenance activities and their frequencies to maintain warranty validity
6. Appendix A - As-Built Drawings: Reference drawings showing the completed works as constructed
7. Appendix B - Test Certificates: Copies of relevant test certificates and commissioning data
8. Appendix C - Manufacturer Warranties: Copies of original manufacturer warranties for materials and equipment
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