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28th March 2022

West City Council



Head of Project Control Group
Vlad.Wichowski@innerwest.nsw.gov.au

architectureforsydney.com
Joel Sawyer
Dear Vlad Wichowski and Project Control Group,
NSW ARN 0008
Re: Architectural Services, Sculptural Exhibition
T 0405168490
E Joel@Architectureforsydney.com
We’re delighted with how the project has been developing alongside the
327 Marrickville Road, construction program in recent weeks. The project has really come into its own
Marrickville NSW 2204 as we work alongside the builders, and the site has been busy on previous
inspections.
ABN 24635320242

The Sculpture Exhibition:


We’ve heard that WCC has just been awarded the opportunity to host a
contemporary sculpture exhibition, congratulations! This is a terrific opportunity
to gather with significant Australian artists and art critics in recognising the
progression of art in our city.

Violet Johannsen suggested that the exhibition be held at one of the park
amenities buildings. This idea has raised a particular issue, as the event is
scheduled nine weeks before the date for practical completion. Noted in the
contract under clause M, ‘Completion of the works’, which has implications that
should be addressed and considered before approval of this exhibition.

In regards to administering this process, we believe that communication of


the exhibition procurement should operate with contractual rigour. The project
shouldn’t be declared practical completion before it is actually completed.

I hope this letter is helpful in assisting PCG in understanding the importance of


practical completion in relation to all parties to the contract. We want to help
guide the direction of administering this exhibition with minimal consequences
for the duration of this project.

West City Council


Park Pavilions

Practical Completion
By Architecture For Sydney

16th May - Autumn 2022


11502 Practice: Finance and Project
Management - Autumn 2022
Joel Sawyer - 12554667
Subject Coordinator - Walter Brindle
Tutor - Ella Lochhead-Sperling -
Ella.Lochhead-Sperling@uts.edu.au
Practical Completion:
“The building is at the stage where it is fit for its intended purpose.”

Our building contract considers two stages of completion.

First, the point in time when possession of the works is handed back to the
owner, liquidated damages cease and the defects liability period commences.
architectureforsydney.com
Joel Timothy Sawyer
This time has been determined within the ‘Contractual Information’, item 22.
NSW ARN 0008 The precise contractual definition of practical completion is contained in Clause
M1, which states:
T 0405168490
E joel@architectureforsydney.com The contractor must bring the *works to *practical completion by the date for *practical
completion shown in item 22 of Schedule 1 as adjusted in accordance with this contract. The
320 Marrickville Road, *works are at *practical completion when in the reasonable opinion of the architect:
Marrickville NSW 2204
a. they are substantially complete and any incomplete work or *defects remaining in the
ABN 24635320242 *works are of a minor nature and number, the completion or rectification of which is
not practicable at that time and will not unreasonably affect occupation and use
b. all commissioning tests in relation to the plant and equipment shown in item 28 of
Schedule 1 have been carried out successfully and
c. any approvals required for occupation have been obtained from the *relevant
authorities and copies of *official documents evidencing the approvals have been
provided to the architect.

Practical completion is defined as the stage at which the works are reasonably
fit for use and/or occupation by the proprietor. This assessment is a contractual
obligation that should be completed by the architect in line with the instructions
of Clause M4. Ordinarily, the architect will inspect the works and assess whether
the definition of practical completion contained in the building contract has been
achieved by the works or not.

Secondly, which isn’t of much importance for our current situation, the time
in which the contract is at final completion. See with the handover of the Final
Certificate. For more information see Clause N11 +N14

In the case of the sculptural exhibition; the WCC will retake possession of the
site and practical completion will be deemed to have occurred. See clause M8.1
under ‘Possession of the *works before practical completion. It states:
1. If the owner takes possession of the whole of the *works before the architect issues the
notice of *practical completion, the whole of the *works is to be treated as having reached
*practical completion. The architect must issue to the contractor and to the owner a notice of
*practical completion for the *works within 5 *working days after being notified in writing that the
owner has taken possession unless clause M4 applies
Therefore, a series of outcomes will occur, which will put various pressures
on the project that could cause serious financial and quality of product
ramifications. The following actions will occur as the result of triggering practical
completion.

- Start of Defects Liability Period (approximately one year), during which


defects are notified by the architect and made good by the builder.
architectureforsydney.com
Joel Sawyer
- Insurance responsibility transfers to WCC from Builder Pty Ltd.
NSW ARN 0008 - Security is returned to the contractor (normally 50%). The security is there
for the builder to fulfil the obligations of the contract, see clause C6.1-3.
T 0405168490 - The contractor’s ongoing liability for liquidated damages ends (liquidated
E Joel@Architectureforsydney.com
damages are pre-determined days worked after practical completion).
327 Marrickville Road, - The power of the architect to order variations does not extend beyond
Marrickville NSW 2204 practical completion, see clause J1.1.
ABN 24635320242
Therefore, in regards to the possible sculptural exhibition to be held, we as
Architecture For Sydney advise WCC to not hold the exhibition due to the
requirement to take back possession of the current project works. We believe
alternate options are available to explore that don’t infringe on the contractual
ramifications that may occur if practical completion is enacted. We would love to
explore these possibilities at a further date.

Please feel free to contact us with any questions that you may have in relation
to practical completion and appropriate actions to enable this exhibition to be
conducted.

Thank you for the opportunity to work with WWC. We look forward to working
with you further and continuing these important services.

Yours sincerely,

Nominated Architect,
Joel Sawyer

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