Duties, Responsibilities and Guarantees of Builders in Spain
The Builder in Spanish LOE
Duties, Responsibilities and Guarantees of the Builder in Spanish Building Works
In Spain, the Law on Construction Planning -LOE in Spanish- defines the Builder as the agent who assumes the commitment to implement human and material means in order to perform the Works, with attachment to the Construction Documents and to the Construction Contract.
Obligations, Liabilities and Guarantees
In Spain, LOE prescribes the following duties and responsibilities for the Builder:
Performing the Work with attachment to the Construction Documents, the applicable Laws and the instructions of the Director of the Work and the Director of the Performance of the Work
Holding an enabling degree or professional qualification
Designating the Site Manager, who will be his technical representative and who must have skills in agreement with the characteristics and complexity of the work. The Builder will be responsible for faults or defects resulting from the Site Manager's inexperience, lack of capacity or negligence.
Assigning all necessary human resources to the Work
Assigning all necessary material means to the Work. The Builder will be responsible for defects in construction products he buys or accepts.
Formalizing all necessary subcontracts. The Builder shall be liable for defects or flaws in the performance of the subcontracted parties of the Work.
After the verification of the stakeout, signing with the Director of the Work and the Director of the Performance of the Work the Formal Stakeout Statement
After the completion of the Work, signing with the Developer the Receipt Statement, which must include the required Builder's guarantees
Providing all necessary information in order to prepare the documentation of the performed Work
In residential buildings projects, covering, for one year, a compensation for material damage caused by performance defects affecting finishing elements, either by subscribing damage insurance or by allowing the Developer to retain 5 per 100 of the material performance cost.
LOE entitles the Developer to expressly agree that the Builder will be the policyholder on his behalf in property damage insurance for ensuring:
for three years, a compensation for damage or defects in the building components or installations that cause a breach in habitability requirements
for ten years, a compensation for damage or defects having its origin or affecting the foundation or the structure, and which directly compromise the mechanical strength and stability of the building.