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.
A California Construction Contract Change Order refers to a written document that outlines modifications or alterations to an original construction contract in California. It is used to initiate changes to the agreed-upon terms, scope, pricing, or timeline in the original contract. Change orders are essential to accommodate any necessary revisions or additions requested by either the client or the contractor during the construction process. In California, there are various types of Construction Contract Change Orders: 1. Scope Change Order: This type of change order is implemented when there is a need to modify the project's scope of work. It could involve adding, removing, or altering certain aspects of the construction project. 2. Time Change Order: A Time Change Order is used to extend or shorten the project timeline. Factors leading to a time change order include unforeseen delays, disruptions, or events that impact the original completion schedule. 3. Price Change Order: Price Change Orders address modifications to the contract's pricing. They can be used to adjust the contract price due to changes in material costs, labor expenses, or any other cost factors that may arise during the construction process. 4. Design Change Order: When alterations are required to the project's design or plans, a Design Change Order is used. It covers adjustments in architectural drawings, engineering specifications, or any modifications that affect the project's design aspects. 5. Owner-Requested Change Order: This type of change order arises when the project owner requests modifications to the original contract terms. It could involve additional work, upgraded materials, or changes to the project's functionality. 6. Contractor-Requested Change Order: Contractor-Requested Change Orders are initiated by the contractor themselves. This can happen when unforeseen conditions arise during construction, necessitating adjustments to the original plans or scope of work. 7. Constructive Change Order: A Constructive Change Order is issued when the actions or instructions of either the owner or the contractor result in changes to the project scope or contract terms, even if a formal change order was not issued initially. It is crucial to document and execute change orders appropriately, ensuring that all parties involved agree to the modifications and understand the impact they may have on the project timeline, budget, and delivery. Adhering to the legal requirements and procedures of California Construction Contract Change Orders is necessary to maintain transparency, avoid disputes, and preserve the integrity of the construction project.