Deed Warranty Building Structure

Written by Bangkok Law Online | 06 October 2010

Deed of Warranty for Building Structure

(A deed of warranty can be included in a construction contract in Thailand or as part of a sale and purchase agreement)

THIS DEED is made this ____ day of ________ 2010 by and between:

(1)     __________________________ Company Limited, with its registered office at _____________ ____________ ___________, Thailand, by its director Mr. ____ _____________ a ________________ national carrying Passport Number [        ]; the ‘Developer’ of the one part; and

(2)     __________________________  a __________________________  national and holder of passport number [        ] and presently residing at [            ], hereinafter referred to as the ‘Beneficiary’ of the other part.

WHEREAS:

(a)    By an agreement in writing made [        ] (‘the Sale and Purchase Agreement’), the Developer agreed with the Beneficiary to construct a building hereinafter referred to as the “Property” upon land at [        ]

(b)    Under the terms of the Sale and Purchase Agreement the Developer agreed to enter into a separate Deed of Warranty in respect of the structural integrity of the Property.

NOW THIS DEED WITNESSES in consideration of payment of the Purchase Price as defined in the Sale and Purchase Agreement by the Beneficiary, receipt of which the Developer acknowledges, as follows:

1    Building obligations
1.1    The Developer warrants to the Beneficiary that it has carried out and completed or will carry out and complete the construction of the Property with all due diligence, in accordance with and subject to the terms of the Sale and Purchase Agreement and Building Contract, and has observed and performed and will observe and perform all of its duties and obligations expressed in or arising out of the Building Contract and (without qualification to or derogation from the foregoing) has exercised and will exercise all reasonable skill and care and diligence in and about the construction of the Property.
1.2       The Developer warrants that the structural integrity of the Property will be free from defect for five (5) years from the date of completion of the construction of the Property.  Any defects, cracks, deficiencies in the structure of the Property arising during the two year period will be remedied by the Developer and all expenses occurring therein will be for the Developer’s account.
1.3    The Developer warrants that all internal fittings and fixtures and all electrical and plumbing installations including air-conditioning, doors and window fittings shall be free from defect for a period of 12 months from the date of occupation of the Property. Any defects caused by or arising out of negligence from, but not limited to, poor workmanship, poor installation, use of sub-standard goods or materials, installation of equipment wholly unsuitable for its purpose, or performance not pursuant to good engineering principles and good construction practices shall be remedied by the Developer and all expenses occurring therein will be for the Developer’s account.
1.4    Damage occasioned by Force Majeure to include but not limited to natural disasters such as earth quake, tsunami, floods, monsoon, fire and damage occasioned by ordinary wear and tear or from the Beneficiaries’ misuse of the fittings or Property is excluded under this Deed of Warranty.

2.    Notice of Defects

2.1    In the event of defects, the Beneficiary shall immediately, by written notice, notify the Developer of any defects arising from the Property including the structure and internal fittings as soon as practicable after the said defect occurs.

2.2    The Developer shall rectify the defect(s) within a reasonable period of time (not exceeding 14 days) after receipt of the said notice.

3.    General

3.1    This Deed of Warranty, when executed and accepted by the Beneficiary, shall be legally binding on both parties and shall be governed by the Laws of Thailand.

3.2    Any notice to be served under this Deed must be served by registered post or facsimile transmission and served upon the Developer at the address set out herein or any alternative address as notified by the Developer to the Beneficiary.


AS WITNESS HERETO both parties have read and understood the terms of this Deed, and hereby acknowledge and agree to the same.

EXECUTED AND DELIVERED AS A DEED