Defect Liability Period (DLP)
Post-completion period in which the contractor must rectify defects free of cost
The Defect Liability Period (DLP) — also called the defects-notification or maintenance period — is the stipulated period after the issue of the completion/taking-over certificate during which the contractor remains responsible for making good, at their own cost, any defects in materials or workmanship that appear in the works. It is typically 12 months in CPWD/PWD building contracts (longer for specialist works, and statutorily 5 years for structural defects in real-estate units under RERA Sec 14).
A portion of the contract money — retention money / a performance security — is held until the DLP ends to secure this obligation; the final bill and security release follow the successful DLP and issue of the final/defect-liability certificate. DLP covers latent and patent defects attributable to the contractor, not damage from misuse, normal wear or owner-introduced changes. It is a routine source of disputes over what constitutes a 'defect' versus 'wear and tear'.
- Contract close-out + retention-money release
- Snag-list + defect rectification tracking
- Final bill + performance-security return
- RERA 5-year structural-defect obligations
- Construction-claim + dispute resolution