What is a change order in construction?

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A change order in construction is a formal proposal to amend the original construction agreement. It is a documented request for changes to the scope of work outlined in the contract, and it can involve modifications to costs, project timelines, and specifications. The need for a change order can arise from various circumstances, such as design changes, unforeseen site conditions, or client requests for additional work.

By establishing a clear agreement on changes, a change order protects both the contractor and the client by ensuring that any alterations are formally recognized and authorized. This process helps maintain accountability and traceability throughout the project's lifecycle. Since it is a formal proposal, it typically requires documentation, approval from both parties, and it often leads to adjustments in the original contract terms, ensuring that all parties are in agreement regarding the updated project conditions.