A contractor change order form is a document that allows a contractor or construction company to modify the initial terms of a project contract to include new information, such as additional expenses, a different deadline or alternate material types. The form replaces the initial service contract and requires signatures and approval from all parties before taking effect.
Most contractors sign a contract with clients before beginning any job that includes estimates on the cost, duration and scope of the project, as well as the specific tasks and responsibilities of the contractor. Most contracts also include a provision that outlines the process and steps for making modifications, which occur through a change order form. These forms track any and all changes to the initial contract to ensure the legality of the modifications, protecting both the contractor and the client from unfair or illegal actions. In order for the form to go into effect, it must have approval from all parties and comply with the terms for change in the initial contract.
The forms commonly come into effect when a project experiences complications due to outside factors, such as poor weather conditions preventing work for several days or a delay in the delivery of construction materials. When creating these forms, the contractor includes all relevant details in regards to the modifications, including the specific reasons for the changes, updating the terms of the initial contract as necessary.