What constitutes a "change order" in construction?

A change order is fundamentally a document that modifies the original construction contract terms. It serves as a formal agreement between the parties involved—typically the contractor and the client—that outlines any amendments or changes to the original scope of work. This modification might include changes in project specifications, adjustments to timelines, or alterations of prices, making it a critical element in managing construction projects effectively.

This option reflects the nature of a change order as it encapsulates any kind of change to the terms previously agreed upon in the contract. It is essential in construction management because construction projects often require adjustments due to various unforeseen circumstances or changes in project specifications. The documentation of these changes through a change order ensures clarity and legal protection for both parties, preventing misunderstandings and disputes.

While a new contract for additional work might seem relevant, it does not necessarily align with the broad nature of a change order, which does not require an entirely new contractual agreement but rather is an adjustment to the existing contract. Similarly, an amendment that reduces project scope could be a change order, but it is not inclusive of the entire scope of potential changes that a change order encompasses. Lastly, a request for additional funding is usually a separate process and does not inherently represent a change to the contract terms themselves. Thus