Utilizing a Construction Punch List

Understand how punch lists are used in connection with substantial and final completion of construction projects.

Industry professionals usually think of a punch list as a list of work items to be completed at the end of the job. This program takes a more nuanced look at how a punch list is used and its impact on the legal and contractual rights of project participants. Many construction participants do not understand how punch work relates to substantial completion, delay damages, the release of retention and final completion, statutory definitions of completion, and lien related deadlines. This topic explains how punch lists are used in connection with substantial and final completion, and how an owner protects itself when punch list work remains at the end of a job. In addition, under state laws, project 'completion' triggers the filing periods for mechanic's liens, stop payment notices and notices of completion. This topic addresses the thorny issue of whether punch items prevent statutory interpretations of completion. Finally, punch lists themselves can be the source of disputes where a contractor contends that the owner is demanding work which exceeds contract requirements and industry standards, and where owners refuse to release retention due to claimed incomplete punch list work. This information provides practical advice on how to analyze these issues, comply with contract requirements, and protect legal rights.