Effect of variations on construction contracts

2023-08-30

Variations in the scope of work can have a significant impact on construction contracts and often result in construction claims. Here are some of the ways in which variations can affect construction contracts and lead to construction claims:

Increased Costs: Variations can result in increased costs, as contractors may require additional resources, materials, and time to complete the work. This can result in construction claims, as contractors may seek additional compensation to cover these additional costs.

Delays: Variations can also result in delays, as contractors may need to halt work to address the changes, which can impact the overall timeline of the project. This can result in increased costs and lead to construction claims, as contractors may need to allocate additional resources to complete the work on time and avoid disputes.

Quality Issues: Variations can result in quality issues, as contractors may need to make changes to their original plans and procedures, which can impact the quality of the work. This can result in construction claims, as contractors and owners may disagree on the quality of the work and the costs associated with addressing quality issues.

Miscommunication: Variations can result in miscommunication, as contractors and owners may fail to effectively communicate and collaborate on the changes. This can result in misunderstandings, miscommunication, and construction claims, as contractors and owners may disagree on the scope of the changes and the costs associated with the work.

Contractual Disputes: Variations can result in contractual disputes and construction claims, as contractors and owners may disagree on the scope of the changes, the compensation for the work, and other important aspects of the contract.

In conclusion, variations can have a significant impact on construction contracts and often lead to construction claims. To avoid these negative effects, it is important for contractors and owners to effectively communicate and collaborate on any changes to the scope of work, and to ensure that the contract clearly outlines the compensation and other terms associated with the work. By doing so, they can help to ensure the success of their construction projects and avoid costly and time-consuming construction claims.