Florida Construction Contract Change Order

State:
Multi-State
Control #:
US-01558BG
Format:
Word; 
Rich Text
Instant download

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

In most construction projects, the change order can be initiated by either the contractor or the client. Typically, if unexpected circumstances arise, such as design changes or unforeseen site conditions, the contractor may propose a Florida Construction Contract Change Order to address the situation. Conversely, if the client requests modifications that alter the original terms, they can also start the change order process. Regardless of the initiator, both parties should ensure open communication to maintain project timelines and budgets.

On average, construction projects experience between 1 to 3 change orders. The number can vary depending on project size, complexity, and unforeseen circumstances. For projects involving a Florida Construction Contract Change Order, being proactive in planning can limit the number of changes required. Utilizing platforms like US Legal Forms can help streamline your contract management and reduce the likelihood of unexpected modifications.

The standard markup for a change order typically ranges from 10% to 20%. This markup covers overhead, labor, and the contractor's profit margin. In a Florida Construction Contract Change Order, specifying the agreed markup from the outset can help maintain clarity in your project budget. It ensures that you and your contractor share a mutual understanding of costs, minimizing the chance of surprises later.

An acceptable change order percentage often varies based on the project's complexity but generally ranges from 5% to 15%. Factors such as project size, site conditions, and changes in material costs can influence this percentage. For your Florida Construction Contract Change Order, it is crucial to agree on an acceptable percentage with your contractor upfront. This practice fosters a positive working relationship and reduces potential conflicts down the line.

A reasonable change order percentage typically falls between 5% and 10% of the total contract value. This percentage accounts for unexpected issues that inevitably arise during construction projects. By keeping your Florida Construction Contract Change Order within this range, you can manage costs and avoid disputes effectively. It’s essential to communicate with your contractor to establish what constitutes a reasonable percentage for your specific project.

A change order to a construction contract is a formal document that modifies the original agreement between the contractor and the client. This document outlines any changes in the scope of work, project specifications, or contract terms. In the context of a Florida Construction Contract Change Order, it ensures all parties are aware of adjustments to costs or timelines. Understanding this aspect helps to maintain transparency throughout the construction process.

Yes, change orders are considered part of the contract documents in construction. They provide formal records of any adjustments made to the original terms, including scope, costs, and timelines. It is crucial to keep all change orders documented to maintain clarity and protect all parties involved in the Florida Construction Contract Change Order process.

Change orders in construction can be created by either the contractor or the client. Generally, the contractor initiates a change order when modifications arise from the project scope, while the client may request changes based on their evolving needs. Clear communication between both parties ensures that the change order reflects accurate information.

A construction change order is a document that outlines modifications to the original construction contract. It specifies what changes need to be made, any adjustments in costs, and how these changes might affect the project timeline. For contractors and owners alike, understanding Florida Construction Contract Change Orders is vital for smooth project execution.

To make a change order in construction, begin by clearly defining the requested changes in writing. Gather necessary details such as the reason for the change, any impact on costs, and updated timelines. Once you have all information, present the change order for approval, ensuring both parties sign off before proceeding.

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Florida Construction Contract Change Order