What constitutes a "change order"?

A change order serves as a formal amendment to the construction contract, providing a clear mechanism for modifying the original agreement between the owner and contractor. It typically arises due to unforeseen conditions, design changes, or other changes in project scope that can impact cost and schedule.

The importance of a change order lies in its legal validity; it ensures that any alterations to the project are documented and agreed upon by both parties, thereby protecting their interests and maintaining clear communication. This formal approach helps avoid disputes and misunderstandings during the construction process.

In contrast, informal requests or proposals, such as an informal modification to the project or adding more contractors, do not carry the same weight as a change order, which must be signed off by authorized parties. Similarly, listing additional materials needed does not constitute a change to the contract but rather may be a part of the change order documentation if it results in modifications to the scope of work.