Virginia Contractor General Practice Test 2025 - Free Contractor Practice Questions and Study Guide

The concept of a "change order" is integral to construction contracts as it embodies a formal amendment to the initial agreement between the parties involved. It specifically allows for modifications regarding the scope of work or the costs associated with a construction project. This could arise from various factors such as design changes, unforeseen circumstances, or changes in project specifications.

When a change order is executed, it documents the adjustments that will be made, which is important for maintaining clear communication and ensuring that all parties are on the same page regarding the updated terms. This is crucial in construction projects where changes are often inevitable, as it protects both the contractor and the client by establishing an official record of what has been agreed upon.

Understanding change orders is vital for contractors, as they can have significant implications for project timelines and budgets, necessitating proper management and documentation to prevent disputes.