Ensuring Construction Quality and Safety: A Comprehensive Guide to Real Estate Law

2023-09-09 01:01:00

[법으로 읽는 부동산]

Recently, as a series of new apartment collapse accidents have occurred, concerns are growing about large-scale new apartment construction across the country. Although there are some places where there are problems from the design stage, if construction is different from what was designed or rebars are missing, the quality of the concrete can be affected. Safety issues have recently become the biggest issue, with concerns of collapse due to deterioration and flooding in some areas due to heavy rain. In reconstruction and redevelopment project areas about to begin construction, construction costs must be lowered during the construction cost negotiation process, but there are side effects of reducing construction costs. Due to poor construction, anxiety is growing. As a countermeasure, the government suspends construction companies’ business, but is business suspension really the best measure? Continued concerns about poor construction by construction companies cannot be unrelated to the recent increase in construction costs. Compared to just two years ago, not only are prices rising, but raw material prices are rising due to the impact of the war between Russia and Ukraine, which has a significant ripple effect on the construction business. In particular, as this situation has been prolonged, production costs have risen further, and the previously estimated construction cost has increased significantly. The construction company is not willing to proceed with the construction, let alone complete it. In one business district in Seoul, the construction company stopped construction when the construction cost could not be coordinated with the union that implemented the project, and the move-in schedule was delayed. In a situation where construction cost increases that exceed expectations have become an unavoidable reality, coordination is not easy because the project implementer must prevent the increase in construction costs as much as possible to improve business feasibility. In the end, rebars are missing or construction methods that reduce costs are poor. I wonder if it may lead to poor construction. It is impossible to reduce construction costs by doing poor construction. Suspension of business or imposition of fines may be issued as a warning to construction companies or to prevent future accidents, but there is considerable doubt as to their effectiveness. Moreover, looking at the cases in which business suspensions have been imposed on construction companies so far, construction companies are subject to legal action. Construction continues somehow through response. Since there is a set construction period in the contract and the contractor must take responsibility if the deadline is not met, the construction company has no choice but to respond. In other words, when a business suspension order is issued, the construction company applies to the court for a provisional injunction to suspend the execution of the order and initiates full-scale administration. It is requested that the suspension of business be suspended until the lawsuit is over, but if the application for a temporary injunction is accepted, the effect of the suspension of business will actually be minimal. This measure by the government is for the safety of people who will move into apartments built in the future. This can be said to be the best measure. However, it is a matter of reconsideration whether the degree of damage caused to union members in the reconstruction/redevelopment area where construction is currently underway or scheduled to proceed has been taken into consideration. In particular, if the suspension of business for construction companies continues, construction is already in progress or construction is suspended. In the upcoming project area, further damage may occur as the occupancy schedule is delayed or the construction start or completion schedule is delayed. If the project is delayed, the project cost may increase in the process, and the increase in project cost is fully borne by the union members who agreed to the project. Several years ago, there was a redevelopment site where the construction company exercised a lien to block occupancy if the increased construction cost was not paid ahead of occupancy. Recently, as construction costs have increased rapidly, such places are reappearing. Union members are unable to determine whether the construction cost is appropriate and are trying to move in. There are also cases where construction costs are covered by crying. The project has been delayed for several years, and I thought it was finally making progress, but suddenly I have to bear the burden of unexpected construction costs due to the rise in raw material prices. It is a reality that cannot be blamed on the economic downturn and is too harsh to call it luck. For union members in reconstruction and redevelopment areas, It is very welcome when the project cost is reduced and the construction progresses quickly, but if the construction progresses quickly and leads to poor construction, it is a pity that this is only possible at the expense of safety. It would be great if the maximum profit could be achieved with the minimum effort, but there is a clear Principles must be adhered to. Although our awareness is gradually increasing, we hope to live in a society where principles are not maintained only when a major accident occurs or when the government takes strong measures, and where unreasonable business progress or tricks for huge profits are naturally excluded. Choi Hye-jin, Chief of Centro Law Firm lawyer
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