Contract Change Of Control Clause

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Multi-State
Control #:
US-01558BG
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Word; 
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Description

Change Orders are instructions to revise construction plans after they have been completed. Change orders are common to most projects, and very common with large projects. After the original scope (or contract) is formed, complete with the total price to be paid and the specific work to be completed, a client may decide that the original plans do not best represent his definition for the finished project. Accordingly, the client will suggest an alternate approach.


Common causes for change orders to be created are:


" The project's work was incorrectly estimated

" The customer or project team discovers obstacles or possible efficiencies that require them to deviate from the original plan

" The customer or project team are inefficient or incapable of completing their required deliverables within budget, and additional money, time, or resources must be added to the project

" During the course of the project, additional features or options are perceived and requested.

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FAQ

Write down the clauses in the original contract that you wish to delete. Use plain language, for example: "Item 12 of the Original Agreement shall be deleted."

The general rule is that change of control of a corporate entity is not an assignment by operation of law, and therefore does not violate a basic anti-assignment provision.

Always put a contract amendment in writing and make sure both parties sign and date it. Reference the title of the contract, if applicable; its original parties; and original signing date, so that it is clear what document you are amending. Attach the amendment to the original contract.

A change of control provision is an agreement where a party has certain rights, such as payment, consent, or termination. This is often related to a change in management or ownership of the opposite party.

Summary. Parties normally seek to include provisions in an agreement that allow for either termination or an adjustment of their rights, such as payment, upon a change of structure or ownership of the other party. This is known as a change of control clause.

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A change of control provision is an agreement where a party has certain rights, such as payment, consent, or termination. This Precedent change of control clause provides the right for one party to terminate the agreement if the other party undergoes a change of control.Provisions of the contract, which continue in full force and effect.

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Contract Change Of Control Clause