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Can the PM Refuse Completion Because of Snagging?

No, not for snagging as such: a Project Manager can't refuse Completion because a list of minor items is still open. It can refuse if an item on that list is work the Scope requires by the Completion Date, or a notified Defect that would stop the Client using the works or Others doing their work.

"Snagging" isn't an NEC term, which is the root of the argument. To answer the question you have to break the list up. This page follows the NEC4 Engineering and Construction Contract (ECC). The test is the same in NEC3, with its Works Information and Employer. It is one of our NEC questions answered.

Sort every item into one of four boxes

Type of itemExampleStops Completion?
Unfinished work the Scope lists for the Completion DateA final coat of paint in one room, where the Scope requires decoration completeYes, even if it is tiny
Notified Defect that prevents useFire door that won't close, in a building about to openYes
Notified Defect that doesn't prevent useScuffed skirting, scratched glazing beadNo. It is corrected in the defect correction period
Something nobody has notifiedA cracked tile on a verbal walk-round listNo, under the Defects limb. Notify it if it matters

The first row is the one that surprises people. A list called "snags" can hide unfinished work, and unfinished listed work doesn't need to affect use to hold up the certificate. The opposite trap also exists: a scruffy finish that meets the Scope isn't a Defect at all, because a Defect is measured against the Scope and the accepted design. See what counts as a Defect.

If the Scope doesn't list the work

The contract falls back on what the Client needs in order to use the works, and what Others need for their own work. Here a minor finish is likely to fall outside the test, but the two sides can reasonably differ on items such as manuals and training. There is more on this in the Completion definition.

What to do now

  1. Contractor: ask for the list in writing, then return it sorted into the four boxes with your evidence.
  2. Supervisor: notify anything you rely on, under 43.2 (42.2 in NEC3). Do it now, because unnotified items don't count under the Defects limb.
  3. Project Manager: decide the date on the test and certify within one week of it (30.2).
  4. Both: keep working on the list. Notified Defects still have to be corrected, and the correction period starts at Completion (44.2 in NEC4; 43.2 in NEC3), so a certificate doesn't let the Contractor walk away.
  5. If still stuck: follow what to do when Completion is disputed. Under Option W1, four weeks is running from when you became aware of the decision.

Sample letter to the Project Manager, in our own words

"We attach the 214 items from your list of [date], sorted as follows: 3 are unfinished Scope items, which will be finished by [date]; 2 are notified Defects we accept would prevent use, also by [date]; 171 are notified Defects that don't prevent use, and will be corrected within the defect correction period; 38 haven't been notified. On that basis we expect Completion on [date]. Please tell us if you see any item differently."

Contract position, against what happens on site

The contract saysIn practice
Zero snagsNo such requirementClients often expect it, especially on fit-outs, and their end users judge by appearance
Who decidesThe Project ManagerThe Supervisor's inspection and the Client's opinion often drive it. Ask the Project Manager to own the reasons
Timing of correctionThe defect correction period, from CompletionOccupiers want it before they move in, and access gets harder afterwards. Clearing the easy items early is cheap goodwill

What the Project Manager will likely say

"There are too many items to call it complete." A large number of small items may fairly raise doubts about use, or suggest unfinished work is hiding in the list. It isn't a test on its own, though. Ask which item prevents use, and listen to the answer: sometimes one apparently small item really does, such as a failed emergency light.

On Options C, D and E, the date has a cost edge too. Correcting Defects after Completion is Disallowed Cost, so a Contractor pushing for an early certificate should understand that the same items then fall to it. A Client eager to move in earlier than Completion should look at take over instead of a generous certificate.

See how this works in practice

Click through Contract Status with sample contracts: raise the notice, reply to it, and watch both sides of one record.

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This guide is general information in our own words, not legal advice. Your contract and its Contract Data always govern. NEC, NEC3 and NEC4 are trade marks of Thomas Telford Ltd; Contract Status is not affiliated with or endorsed by NEC.