Deciding to build from the ground up can be an exciting and frightening experience at the same time. When you enter into a contract with a construction company, you hope you cover as many aspects of the process as possible.
However, there are sometimes circumstances you cannot predict, and your contract needs to address how you will handle them. In some situations, you may need a change order to address the issue.
Some common reasons for change orders
Below are some common reasons you may need a change order as your project progresses:
- If you decide you want to make changes to the project, such as adding new features, changing materials or tweaking the design
- If you encounter obstacles you didn’t expect, such as environmental conditions, underground utilities or even archaeological finds, among other things
- If it turns out that deficiencies occur in the process due to personnel who lack the appropriate experience, and some make mistakes
- If it turns out you have to make changes in order to successfully complete the project
It may be possible to avoid some of the reasons for change orders. For instance, you could order an environmental assessment or review title documents for easements. Of course, you more than likely took these steps during the due diligence phase of your land purchase, but oversights happen. You could have someone independently review your design, project parameters and more.
Setting some parameters for change orders
If it turns out you need a change order, you should be able to turn to your construction contract for guidance. During your contract negotiations, discussions regarding change orders more than likely came up. To help make sure that your project remains within the budget and time restraints you expect, you and the construction company probably included provisions regarding any changes and delays to the project.
The last thing you want to do is end up with extensive cost overruns. Adding some control measures to your construction contract in order to keep any potential changes to a minimum would be in your best interest. If you work with a North Carolina attorney experienced and knowledgeable in construction law, how the process works and potential hang-ups on your project, you increase the chances of getting through your build on time and on budget.
