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Section 4— Testing and Defects

Clause 41.2

Searching — Cost Distribution

Purpose

If the Supervisor instructs the Contractor to search for a defect and none is found, the cost of the search is borne by the Employer. If a defect is found, the Contractor bears the cost.

Practical Application

The Supervisor may instruct opening up, testing, or investigation if a defect is suspected. The cost allocation depends on whether a defect is actually found.

Common Pitfalls

The threshold is whether a defect exists, not whether the Contractor was at fault. Even if the defect was caused by an Employer risk, the Contractor bears the search cost if a defect is found.

Related Clauses

Clause 40.1

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