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During contract administration, a change order is requested that will increase the project cost by 15%. What documentation is typically required before proceeding with the work?

Correct Answer

A) Written change order signed by authorized parties

A written change order signed by all authorized parties is essential before proceeding with work that changes the contract scope or price. This documentation protects both parties and ensures clear understanding of the modifications.

Answer Options
A
Written change order signed by authorized parties
B
Verbal approval from the project manager
C
Updated project schedule only
D
Revised material delivery schedule

Why This Is the Correct Answer

A written change order signed by authorized parties is legally required for any contract modifications, especially significant cost increases like 15%. This documentation creates a binding amendment to the original contract, clearly defining the scope changes, cost adjustments, and timeline impacts. Without proper written authorization, the contractor risks performing work without guaranteed compensation and may face legal disputes. Florida construction law emphasizes the importance of written documentation for contract changes to protect both parties' interests.

Why the Other Options Are Wrong

Option B: Verbal approval from the project manager

Verbal approval is insufficient for contract modifications and provides no legal protection for either party. Verbal agreements are difficult to prove in disputes and don't meet the documentation requirements for construction contracts under Florida law.

Option D: Revised material delivery schedule

A revised material delivery schedule is merely a logistical document and doesn't provide contractual authorization for scope or cost changes. This type of schedule revision might be a consequence of an approved change order, but it's not the required authorization documentation.

Memory Technique

Think 'CYA' - Cover Your Assets. Always get it in Writing with Signatures before proceeding with changes.

Reference Hint

Florida Building Code Chapter 1, Section 105 - Construction Documents and Chapter 4 of construction contract administration references

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