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Change orders in construction are very common, and occur in almost every commercial and public project. Still, your goal should be to avoid them as much as possible, because change orders can result in delays and higher costs. Changes to construction plans tend to negatively impact only one party.
Below are some tips for reducing or eliminating unwanted change orders on construction projects.Establish a change order process up front.Provide a clear statement of work.Eliminate or minimize change orders resulting from incomplete design.Coordinate design among the project's various disciplines.More items...?
What Do Change Orders Typically Include?A description of the requested change compared to the original contract or bid.Itemized documentation of any subcontractor costs.A summary by the contractor of the total costs of the proposed change.More items...?
Once the owner and contractor have agreed on scope, price, and schedule, a formal, written change order is prepared and signed by all parties. Then, the contractor proceeds to perform the changed work. See Son-Shine Grading, Inc. v.
A change order is simply an addendum or amendment to the original construction contract and scope of work and can be initiated by the owner or the contractor.