FACTS
The case of Parkview Constructions Pty Ltd v Futuroscop Enterprises Pty Ltd [2023] NSWSC 178
involved a dispute between the builder (Parkview) and principal (Futuroscop), over the date of
practical completion under an AS 4902-2000 contract, for works including a hotel building and carpark.
Work began on 1 March 2016 and in September 2017, the superintendent issued a ‘Conditional Notice
of Practical Completion’, noting a number of additional works to be completed, before ‘final’ practical
completion and stating:
There are many items outstanding to achieve full completion for Building A and the external Areas.
However, as the Tenants for Building A have taken occupation (excluding the roof terrace due to
noncompliance by the Contractor) and the Interim Occupation Certificate has been received from
Council (received 12th September 2017), this Practical Completion Notice will be issued Conditionally.
A similar conditional notice was later issued for the other works under the contract. On 16 October 2017,
a request for partial return of security was made by Parkview on the basis that the two conditional notices
constituted practical completion under the contract, but was refused by Futuroscop, who cited a number
of alleged defects.
ISSUE
Whether the ‘conditional’ notice of practical completion was certification of practical completion? And
if not, how should practical completion be determined?
FINDING
