Open Building Permits and How To Close an Open Building Permit:

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Open Building Permits and How To Close an Open Building Permit:

Prior to entering into any contract to purchase a residential or commercial property, a necessary task for any attorney is to research whether there are any prior permits for work, filed with the Building Department, which remain open and have not been signed off.
When a property owner seeks to perform structural, electrical or plumbing work to a property, he is required by law to file for a permit with Buildings Department to perform this work. Once the work is completed, the individuals performing the work file a sign off of the permit which notifies the Buildings Department that the work has been satisfactorily completed. But, what if the permit is not signed off and the property owner who filed it sells the property leaving the prior permit open.

The ensuing task for a new owner can be difficult. First, the owner must locate the contractor or architect who filed the permit on behalf of the prior owner in order to have him signoff on the permit. This becomes impossible if that contractor or architect cannot be found or if he failed to complete the work as stated in the permit. Second, if the filing party cannot be found, an inspector from the Buildings Department may need to be asked to inspect the property to insure that all the work subject to the permit was in fact performed so that the permit can be sign off. This may result in the inspector finding that the work performed was not up to par or, even worse, finding that other undiscovered violations exist at the property.

In sum, prior to signing any contract for the purchase of a property, a buyer should insure that there are no prior open permits affecting the property. If there are, a buyer should obligate a seller to take all appropriate steps to obtain valid signoff of any such permits. A buyer can discover whether a property has open permits by visiting the Building Department.