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During the performance of the project, it is inevitable that defects of the work will emerge during the process of construction. In the completion and final acceptance stage, the procedure for remedying defects or, alternatively, price reduction due to defects, will follow. However, the practice in Taiwan’s construction industry may deviate towards the convenience of the employer, in which the employer may abuse its power of rejection for leveraging a number of benefits or favors. The contractor often finds itself in the dilemma of admitting to an unfair price reduction or prolonged defect remedy iterations for final acceptance.
In summary, there are definitions of the rights and obligations for both parties at the time when the dispute occurred. However, there are many ambiguities whether the employer chooses to accept the work at completion, or, facing certain defects, to refuse to accept the work. Therefore, this research examines the causal relationship of defects by judicial dispute cases to support the necessity of acceptance clause in the contract, and to propose an effective measure for resolving those ambiguities surrounding the issues of defects in completion. Furthermore, using the questionnaire survey, sorted by the frequency of the transition barrier categories and the influence of the disputed costs relative to the total project price, this research is able to propose a set of effective measures, which is positively recognized by industry experts.
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