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A contractor discovers differing site conditions that will require additional excavation costing $45,000 and extending the schedule by 10 days. The contract includes a differing site conditions clause. What is the contractor's first step?

Correct Answer

D) Provide written notice to the owner before disturbing the conditions

When differing site conditions are encountered, the contractor must typically provide prompt written notice to the owner before disturbing the conditions, allowing for inspection and documentation of the conditions.

Answer Options
A
Immediately proceed with the additional work
B
Submit a change order request
C
File a claim for extra compensation
D
Provide written notice to the owner before disturbing the conditions

Why This Is the Correct Answer

When differing site conditions are encountered, the contractor must provide prompt written notice to the owner (and typically the architect) before disturbing the conditions. This preserves the owner's right to inspect and document the actual conditions, which is essential for evaluating the claim. Disturbing conditions before notice can destroy the evidence and waive the contractor's right to compensation.

Why the Other Options Are Wrong

Option A: Immediately proceed with the additional work

Immediately proceeding with the additional work is the worst option. Proceeding without notice destroys the conditions the owner needs to inspect and can waive the contractor's contractual right to additional compensation.

Option B: Submit a change order request

Submitting a change order request is premature as the first step. The change order process begins after the owner has been notified and has had the opportunity to inspect. Notice must come first.

Option C: File a claim for extra compensation

Filing a claim for extra compensation is also premature as the first step. Claims come after proper notice and the owner's failure to resolve the issue through a change order or directive. The claim process is the last resort, not the first step.

Memory Technique

DSC = Discover → Stop → Call (notify in writing). Like a crime scene — don't touch anything until you've notified the authorities (owner). Preserve the evidence first.

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