What is one way a contract can be terminated if construction occurs?

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A contract in construction can be terminated under specific conditions set forth in the agreement and applicable law. One valid scenario for termination is related to Substantial Performance, which refers to a stage where the construction is sufficiently complete, in accordance with the contract, allowing for the owner to occupy or utilize the work for its intended purpose.

The timeline of one year from the certification of Substantial Performance is significant because it allows for a reasonable period in which issues related to warranty claims or deficiencies can be addressed. Once the substantial performance is certified, the clock starts ticking for potential disputes or claims under the contract. This provision is designed to protect both parties by providing clarity on the duration of obligations and rights related to the work completed.

This understanding also contextualizes why other options may not represent valid ways to terminate a contract based on typical construction contract stipulations. For example, the option related to the receipt of the architect's notice does not universally correlate with termination unless specific grounds for termination are stated. The notion of abandonment leading to a seven-day termination window may not legally protect the interests of all parties involved. Lastly, tying termination to the final payment requires a deep understanding of the contract provisions and generally extends beyond typical termination clauses associated with construction.

In summary, linking termination

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