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Clause X16

Retention

Purpose

The Employer withholds retention from amounts due. It is released at Completion and Defects Certificate.

Practical Application

Retention is typically 3-5% of the amount due. Half released at Completion, half at the Defects Certificate.

Common Pitfalls

In some jurisdictions, retention must be held in a separate trust account. Check local law requirements.

Related Clauses

📖 This summary is for reference. For the full, authoritative NEC4 contract text — including all amendments, guidance notes, and flow charts — visit the official NEC website.

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⚠️ This commentary is for reference only. Always refer to the full NEC4 contract text and seek professional legal or contractual advice for your specific project.