Articles & Advice

Change Orders

by Dave Lupberger

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A change order is a written modification of the scope of the work from what was originally defined in the completed Blue Prints and Specifications. The two main causes of Change Orders are unforeseen soil or building conditions which become apparent only after construction has begun; and owner-initiated design changes. As I mentioned earlier, your contract should contain a clear policy regarding change orders.

A standard change order should include the following:

1. Job name, address, and phone number.
2. Owner's name.
3. A complete description of new work to be performed.
4. Total price for materials and labor to complete the change.
5. Revised date of completion due to the change order.
6. Signatures of the company representative.
7. Signatures of the homeowners.

A sample change order form is shown below:

Sample Change Order Form

JOB NAME: _________________________________________

CHANGE ORDER # _________________________________

DATE: _____________________________________________

OWNERS:___________________________________________

______________________________________________________

______________________________________________________

OWNERS hereby authorize the following changes in the plans and specifications of the above described construction project, and/or order that additional materials, supplies, services, labor and other items listed below and/or requires to complete this Change Order to all other terms and conditions in the contract with ___________________________.

Charge Order Amount $ ______________________________

Payment for this Change Order is due upon completion of the change order work. All provisions of contracts between the above parties pertaining to the above job are applicable to this agreement. This Change Order may extend the time required to complete the project. Please see paragraph "Extra Time" in your contract.

OWNER: [Your business name here]

Accepted this ________ day of ______

By ________________________

By _______________________

Page ______ of ______

Disclaimer
This form is provided for informational purposes only, and does not constitute legal advice. You should have a licensed attorney review any legal documents to insure that they are adequate for your needs and are valid and in conformity with any applicable federal, state and local laws and regulations.