Dermot Ahern (Louth, Fianna Fail)

I have sympathy for the point Deputy Rabbitte made with regard to the retention and I have considered the matter carefully. However, all the advice I have received is that it could be the source of considerable dispute as to what is or is not "completion". The fact is that the planning and building control laws do not provide any guidance with regard to issues such as snagging. Ultimately, such issues can be the cause of disputes between developers and purchasers even in the case of single purchases.

I have tried to provide a via media, that is, an opportunity for the two parties to agree that there would be a retention but not to make it a statutory requirement. Purchasers can look at developments in future and decide whether they seek a development with or without a retention. The problem is that a significant amount of money could be retained over an entire development and the whole question of the release of that money is not properly dealt with, even in the amendments proposed by Deputy Rabbitte. I believe our amendment is better since it allows for the provision of this eventuality in the event of the parties being of such a mind. As a result of discussions on Second and Committee Stages we have provided measures, including the mandatory requirement for a contract to be available and for the legal advice of the owner management company to be paid for by the developer. This is a significant safeguard for the purchasers and the owner management companies.

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