Notice of Completion

Definition

A Notice of Completion is a written document filed at a courthouse in the area where a project is located, verifying that the project is complete and ready for occupancy. This document marks the beginning of the final days of the lien period.

Purpose

The Notice of Completion serves to officially declare that a construction project has been completed. It initiates the lien period countdown, during which contractors, subcontractors, and suppliers must file any liens for unpaid work or materials. This notice helps protect property owners by limiting the time frame for potential lien claims.

Examples of Use

• Residential Construction: Filing a Notice of Completion for a new home to notify all parties that the construction is complete and to start the lien period.
• Commercial Projects: Used in commercial construction to signal the completion of a building or renovation project, initiating the lien period for contractors.
• Public Works: For public infrastructure projects, a Notice of Completion is filed to declare the project finished and ready for use.

Related Terms

• Lien Period: The time frame during which contractors and suppliers can file a lien for unpaid services or materials.
• Certificate of Occupancy: A document issued by a local government agency or building department certifying that a building is compliant with applicable building codes and safe to occupy.
• Substantial Completion: The stage in a construction project when the work is sufficiently complete, in accordance with the contract documents, so the owner can occupy or utilize the property.

Notes

• Filing Requirements: The Notice of Completion must be filed in the appropriate courthouse and may have specific requirements depending on local laws.
• Legal Protection: Filing a Notice of Completion provides legal protection to property owners by limiting the time frame for lien claims.