Home » Problems » Answer to Mr. and Mrs. Change Work Order

A. List the mistakes made to date by your company

  1. Quoting and starting the job without complete plans
  2. Starting the job before all selections were made
  3. Continuing to work on the job before getting signature and payment on change work orders
  4. Lack of good communication with the client

B. Briefly list the paragraphs of contract language that should be included in your original contract

  1. Language that explains that incomplete plans will require an Installed Allowance Amount on each of those items missing and a description of how Installed Allowance Amounts are to be dealt with.
  2. Language that explains that without complete selections, a Material Allowance Amount is given for each selection not made.
  3. Language including an upfront surcharge of at least $350 for any and all changes to the job, starting at #4 and continuing through job completion.
  4. Language specifying the exact payment schedule for both the original contract and any subsequent change work orders and what happens if change work orders are not signed and/or the scheduled payment is not met on time, i.e. job shut down, liens filed.
  5. Language that says any request for itemization will be charged at the rate of $75.00 an hour, minimum four hours per request.
  6. Language that specifically says that all conversations about the job, any changes, any questions or complaints will be dealt with one on one at a meeting between the owner and the contractor, and that the owner will not request any changes or express any problems by email, fax or other electronic means.
  7. Language that specifically says that both client and contractor agree to good communication and that no litigation of any kind will be started until you have entered into binding arbitration with a non-attorney arbitrator, skilled in construction disputes.

While no contract can prevent all issues that might arise, a contract with strong language that stops the “snowball” from rolling and gaining in size will go a long way in preventing escalating owner/contractor disputes.

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