What happens when changes occur during the course of the project?

Changes to a construction project can lead to disputes and complications between the contractor and the property owner in California. Such disputes can delay the construction process, drive up costs, and even lead to lawsuits. Contractual agreements define the scope of a construction project in California. When the contractor and the property owner agree to changes that are outside of the original contractual agreement, this is considered a “change order.” A change order is a means for the contractor and the property owner to modify the terms of the original construction contract. Any change order must be documented in order to be legally binding. The change order should be dated and reflect the changes made in the original contract. Additionally, the contractor and property owner must both sign the change order in order to confirm that both parties agree to the changes. If changes to the project are not documented in a change order, this can lead to costly disputes and litigation. If the contractor believes that the change order was unfairly requested or if the property owner believes that the contractor is trying to take advantage of them, they may both seek legal action. In order to avoid costly disputes, contractors and property owners should always document changes to a construction project in a legally binding change order. This will help ensure that both parties understand and agree to any changes that are made during the course of the project.

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