If changes to the original contract occur, what is necessary before the changes are made?

A written Change Order signed by all parties is essential when changes to the original contract occur to ensure clarity and legal enforceability. This process serves several important purposes.

Firstly, a Change Order documents the specifics of the modifications, including details such as the scope of work, cost adjustments, and time extensions. This documentation is necessary to prevent misunderstandings between the parties involved. By requiring the signatures of all parties, it ensures that there is mutual agreement and that all parties are aware of and consent to the changes being made.

Additionally, having a written Change Order is a best practice that protects the rights of all parties. It helps to ensure that if any disputes arise concerning the changes, there is clear evidence outlining what was agreed upon. This becomes particularly important in situations where the original contract terms may be ambiguous or when significant adjustments have been made.

In contrast to verbal agreements, which can lead to miscommunication and lack of accountability, and immediate implementation without documentation, which lacks formal recognition and protection, a written Change Order provides a structured approach to managing contract modifications. Approval from a third party is generally not required in most contractor-client relationships, making the Change Order a more straightforward and direct solution to managing contract changes.