What does the Certificate of Substantial Completion indicate?

The Certificate of Substantial Completion is a significant milestone in the construction process, marking that a project has reached a stage where it can be used for its intended purposes, even if minor work may still need to be completed. This certificate indicates that the essential components of the project are in place and functional enough for occupancy or use. While further work may be required to fully complete the project, this document allows the owner to take possession and start using the facility, which is often crucial for scheduling subsequent phases or for other operational reasons.

The notion that the project is 100% finished is misleading, as substantial completion does not imply final completion of all contractual obligations. Additionally, the contractor is not released from all responsibilities merely because substantial completion has been achieved; there are typically remaining obligations such as minor corrections or warranty items. Lastly, passing all inspections is often a prerequisite for obtaining the Certificate of Substantial Completion, but the certificate itself does not specifically certify this; it focuses on the usability of the project. Thus, the indication that the structure can be utilized for its intended purposes best captures the essence of what the Certificate of Substantial Completion represents.