Paul,
I can't help but think that this system is probably a little mis-guided.
Sure Code 1, where an immediate danger to life or property has occurred, remedial action must be forth-coming.
Code 2 IMO, shouldn't even be there, if you install something to the extent that improvement on your original installation practice is bought into question, what was the point in the first place?.
In my opinion, a Code like this would be under No.1.
Either you do it correctly in the first place or not at all.