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Free Legal Information on Change Orders. Click Here
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A law summary that addresses some of the common situations involved in the industry, including:
- When does a change become an extra?
- Do you lose your rights to extra compensation if the change order is not signed?
- What if your contract requires a change order to be in writing?
- What if you’re told to do additional work but the other side refuses to pay extra–is there a way to do the work under protest?
- Can you refuse to do extra work not in the contract?
- Can you refuse to do extra work if a change order is not signed first?
- Do you have to give the other side notice you’re doing extra work?
- Is it to your advantage to have a contract provision requiring signed change orders?
- What do you do with the owner that changes his/her mind continuously (“change-a-holic” owner)?
- How do ambiguous drawings, directions from the architect, unforeseen site conditions, building code compliance, acceleration, and building inspector changes affect you?
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Change Orders
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The change order package below includes change order forms to be used by general contractors and subcontractors (in fillable PDF format so they can be used over and over again), a law summary, instructions, and formatted into a change order kit. Eight (8) separate forms for one price. Covers the most commonly encountered situations on a construction project, including:
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- Standard Change Order. Use it when the parties have agreed on all the important terms, including description of the work, price, payment terms, and time for commencement and completion. It has a “default provision: If the price is not stated, it automatically reverts to a cost-plus change order based on the same P. and O. (profit and overhead) percentage and labor rates as in the original contract.
Under a Change Order Attachment, there are four sections that break down the various extras, since it is common to perform more than one extra under the same change order number. This gives the owner/general a better idea of how you arrived at the pricing, which is helpful in getting them to agree on the change in the first place.
- Change Order Confirmation. Use this when the parties have agreed the work is an extra but have not necessarily agreed on all of the terms. In other words, everyone understands the work will be treated as a change and that some extra compensation paid, but not exactly how much. The Courts will then determine the “reasonable” additional cost. If you do not send it to the other side at all, you lose this advantage.
- Field Change Order Confirmation (full size). This covers the same situation as above, except the language has been abbreviated for simplicity. That is because it is used in the field as opposed to being prepared in the office.
- Field Change Order Confirmation (half size). This involves the same situation as in #2. The difference here is that the form has been pruned down to fit on one-half of the page. This allows you to have it printed onto a tablet form and carried by your personnel in the field. Have any commercial printing company prepare it.
- Notice of Extra Work Performed Under Protest (you are preparing the paperwork). If you have been told to do further work but the other side refuses to acknowledge it as an extra with additional compensation. You are then sending it under protest. Let them know you will be doing the work (so as not to jeopardize scheduling of the overall job), but are reserving your legal rights to claim additional compensation at a later time.
- Additional Work Protest (someone else has prepared the paperwork and sent it to you). Similar to the above, except you are responding to what has been verbally ordered or sent to you. You have received a directive or a change order that appears to be in violation of the contract documents. You have been asked to do additional work beyond the scope of the contract, but are told there will not be extra compensation. Instead of refusing to do it, which may impede the progress of the job, you agree to perform the work, but want to reserve you rights for future compensation or damages.
- Request for Signed Change Order. Use when you have sent a change order out for signature and it has not been returned.
- Request for Change Order Quote. When you are considering whether to make a change/addition to the drawings or contract. It asks a subcontractor, sub-subcontractor or supplier to give a quote. You then decide if it is worth going forward at that price. You start by sending this sheet to them. After this sheet is filled-out and sent back with their quote, you then decide to approve or not. If completely approved, there is an “Acceptance” portion at the bottom. If rejected, there is a section called “Non-Approval”. If some of the quote is acceptable but not all, you fill-out and return under another section.
- Non-responsibility for Change Order. When you suspect someone is doing additional work without your knowledge or consent and you, or the owner, do not want to be responsible for paying for it as an extra.
- Change Order Log. Keeps track of the various change orders, whether they are approved or rejected, time extensions, and amounts.
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Payment Options
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The Shopping Cart on this site is set up for Visa and MasterCard only. Check or money order? The forms will be e-mailed to you and after receipt, you can send a check. No e-mail address? No problem — a CD disc can be mailed to you. No computer or internet access? We can mail hard copies (simply make multiple copies and fill-in the spaces by pen). Phone or mail orders? Call or write us — we will get the forms to you any number of ways. Help with payment? Let us know and we will make a payment arrangement you can afford. No one is left behind. Veteran? You will receive $5 off any order. Since the Shopping Cart is not programmed for this specific discount, please call us. NationaLienLaw.com wishes to express its appreciation for the men and woman who have proudly defended our American way of life.
More questions? Call—(925) 899-8449 E-mail: info@NationalLienLaw.com Mail: NationalLienLaw, 442 Diablo Road, Suite 137, Danville, CA 94526. Thank you for your patronage.
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