'Definition — practical completion inspection

1.1 A practical completion inspection (PCI) is a formal assessment conducted at or near the stage of practical completion of a residential or commercial building, as described under the Queensland Building and Construction Commission Act 1991 (Qld) and associated legislation.

1.2 -The inspection is undertaken to identify observable defects, incomplete works, and items that may not conform with the QBCC Standards and Tolerances Guide.

The PCI is a point-in-time visual assessment only. It does not constitute a building certification, a structural engineering assessment, or a compliance certificate of any kind.

2. Role of the inspector — observe and report

2.1 - The inspector's role is strictly limited to the observation and documentation of defects or incomplete items that are visible and accessible at the time of inspection. The inspector will record the nature, location, of each item identified.

2.2 - The inspector does not make assumptions regarding the cause of a defect, nor does the inspector prescribe a specific method of rectification. The determination of how any item is to be rectified remains the sole responsibility of the builder, licensed contractor, or relevant trade. The inspector's observations are made in accordance with industry standards and good trade practice; they are not a specification for repair.

3. Rectification obligations and process

3.1 - The identification of a defect or incomplete item in a report does not, of itself, create an obligation on Handover Ready Inspections or the inspector. Responsibility for rectification lies with the builder or contractor in accordance with the building contract, statutory warranties under the QBCC Act, and any applicable dispute resolution process.

3.2 - Handover Ready Inspection sends the inspection report in writing with the photographic evidence of the rectifications observed and listed. A target date my be added to all reports items to directly send out and notify trades of expectations for completion.

3.3 - The builder is responsible for all contact with the home owners for the rectification of any work.

3.5 - Where the Client disputes an item or fails to understand the QBCC Guides, Standards & Tolerances, Handover Ready Inspections is happy to meet on site and assist in resolution between the parties, the owner may refer the matter to the QBCC for assessment and dispute resolution in accordance with the QBCC Act. Our inspections re carried out to meet the QBCC definitions

3.5 - A re-inspection maybe commissioned through Handover Ready Inspections to verify that items have been satisfactorily rectified prior to final handover or payment of retentions.

4. Limitation of liability

4.1 - This inspection and report is prepared by Q Projects Qld Pty Ltd T/A Handover Ready Inspections (QBCC Licence 1021338) for the exclusive use of the client named in this report. It must not be relied upon by third parties without the written consent of Handover Ready Inspections.

4.2 - The inspector's liability is limited to the fee paid for this inspection service. This report does not discharge the builder's statutory obligations under the QBCC Act or the building contract, nor does it waive any of the client's rights under those instruments.

4.2 - This engagement agreement (“Agreement”) is made between Handover Ready Inspections (QBCC Licence 1021338) (“the Inspector”) and the client named above (“the Client”) for the provision of inspection services described below

5. Scope of engagement

5.1 - The Inspector is engaged to carry out a visual inspection of the property identified for the purpose of identifying observable defects and incomplete items relative to the QBCC Standards and Tolerances Guide.

5.2 - The inspection is non-invasive and visual in nature. It does not include the removal of fixtures, finishes, or fittings, and does not extend to areas that are inaccessible, concealed, or unsafe to access at the time of inspection.

5.3 - The scope of this engagement is limited to the production of a written inspection report. It does not constitute structural engineering advice, a building certification, a pest inspection, or a compliance audit of any kind.

5.4 - The terms of inspection accompanying this Agreement, including the definition of a practical completion inspection, the role of the Inspector, the rectification process, form part of and are incorporated into this Agreement.

5.5 - The Inspector will not enter the roof space of a residential building during a standard inspection. Where access to the roof space is required, this will be conducted at an additional cost, payable prior to inspection. All electrical elements within the building must be fully isolated by a licensed electrician before the Inspector attends.

5.6 - All defects are viewed from a normal viewing position as outlined under the QBCC Standards and Tolerances guide. The normal viewing position is from a distance of 1.5m or greater 600 mm for appliances and fixtures; with the surface or material being illuminated by noncritical light.

6. Dispute resolution

6.1 - Scope; This section applies to any dispute, claim or difference between the parties arising out of or in connection with this Agreement, including its formation, performance, breach, termination or interpretation (a Dispute).

6.2 - Notice of dispute; A party wishing to raise a Dispute must give the other party written notice setting out the nature of the Dispute, the outcome sought, and any supporting information (a Dispute Notice).

6.3 - Good-faith negotiation; Within ten (10) business days of receiving a Dispute Notice, a senior representative of each party must meet in person, by telephone or by video conference and attempt in good faith to resolve the Dispute.

6.4 - Mediation; If the Dispute is not resolved within twenty (20) business days of the Dispute Notice, either party may refer it to mediation. The mediator will be agreed between the parties or, failing agreement within seven (7) days, nominated by the Queensland Law Society. Each party pays half the mediator's fees and its own costs of participating.

6.5 - QBCC processes preserved; Nothing in this section limits or delays either party's right to refer a matter to the Queensland Building and Construction Commission for assessment, dispute resolution or determination under the QBCC Act. Where the subject of the Dispute falls within the QBCC's jurisdiction, the QBCC process takes precedence over the steps in clauses 7.2 to 7.4.

6.6 - Legal proceedings; A party must not commence court or tribunal proceedings in respect of a Dispute (other than an application for urgent injunctive or declaratory relief) until it has complied with clauses 6.2 to 6.4, unless the other party has failed to participate in those steps within the timeframes required.

6.7 - Continued performance; Each party must continue to perform its obligations under this Agreement while a Dispute is being resolved, except where the nature of the Dispute makes continued performance impossible or unreasonable.

6.8 - Governing law and jurisdiction; This Agreement is governed by the laws of Queensland. The parties submit to the exclusive jurisdiction of the courts and tribunals of Queensland

7. Payment

7.1 - By signing below, the parties agree to be bound by the Terms of Inspection annexed to this Agreement (Annexure 1), including the definition of a practical completion inspection, the role of the Inspector, the rectification process, and the scope and limitation of liability set out therein.

7.2 - General terms: Inspections bookings require a 50% deposit to confirm your booking. Final payment is due the day prior to inspection or on the day if owner is present. No reports will be issued until full payment is received without prior arrangement.

7.3 - By signing the agreement, you agree to Handover Ready Inspections terms and conditions contained within this document

7.4 - Overdue amounts accrue interest at 20% per calendar month from the due date until payment is received in full, or prior arrangements are made.

7.5 - The Client is liable for all reasonable costs incurred by HRI in recovering overdue amounts,including legal fees and debt collection agency costs.