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What is a 'change order' in construction?

A document outlining changes to the original contract

A 'change order' is fundamentally a document that outlines changes to the original contract, including modifications to the scope of work, the cost, and the timeline of a construction project. In construction, change orders are common as they address unforeseen circumstances or alterations requested by the client that deviate from the specified terms of the initial contract. This document serves as a formal agreement that records the adjustments, ensuring both parties acknowledge and accept the changes.

Other options do not accurately represent the main function of a change order. While a summary of project costs is important for financial management, it does not encompass the scope modifications that a change order covers. An agreement between subcontractors may facilitate collaboration on the project, but it lacks the comprehensive documentation of changes that a change order provides. Lastly, a directive to stop work immediately does not relate to alterations in the contract but would typically require a different type of notice or communication regarding work halting.

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A summary of project costs

An agreement between subcontractors

A directive to stop work immediately

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