What happens after the contractor determines the price and time impacts of a change?

The contractor gives the owner a charge order request.

The contractor starts working without approval.

The owner issues a formal change order to the construction contract.

What is the risk for the contractor when continuing work with a construction change directive without an agreement?

Risk of not receiving additional compensation

No risk, as the directive guarantees payment

Risk of legal action from the owner

What is a cardinal change in the context of construction changes?

A change that exceeds what is considered a "change" to the existing contract

A minor modification to the contract

A change within the scope of the original contract

A change that reduces the project cost

What is the general process for implementing owner directed contract changes according to FIGURE 12-2?

Owner issues construction change directive, contractor completes disputed work, contractor processes claim for reimbursement of additional work

Contractor requests change, owner approves, contractor completes work

Owner issues construction change directive, contractor rejects directive, owner seeks legal action

Contractor completes disputed work, owner issues construction change directive, contractor processes claim

What is a cardinal change in the context of a contract?

B) A change so far beyond what the parties contemplated that it constitutes a new agreement.

A) A minor adjustment to the original contract that is easily accommodated.

C) A change that is within the original scope of work and contemplated by the contract.

D) A change that is required due to errors or omissions in the original contract plans.

Which of the following is NOT one of the four primary factors that might indicate a change rises to the level of a cardinal change?

D) The change resulting in a decreased overall cost of the project.

A) The impact of the change(s) on the original plans/specifications.

B) How much the change increased the complexity/difficulty of the work.

C) Disruption to coordination or methods of construction.

What is the consequence of a change being determined as cardinal for public contracts?

C) The contractor is excused from performance and the contract is considered void.

A) The contract is slightly modified but remains in effect.

B) The contractor is given a bonus for accommodating the change.

D) The contract is extended to allow for additional time to complete the project.

What was the case mentioned as an example of cardinal change?

C) General Contracting & Construction v. United States

A) General Contracting v. O'Connor

B) Bruner & O'Connor on Construction Law

D) O'Connor v. General Construction

What is a constructive change in the context of contract changes?

A change that imposes an obligation on the contractor to do work outside the scope of the contract, without a formal change order or directive.

A change that is directed by the owner and memorialized in a change order.

A change that is recognized by the owner as necessary and is included in the contract documents.

A change that results in reduced costs for the contractor and is agreed upon by all parties.

What can a contractor do if they encounter a constructive change?

The contractor must look to the claim provision of the contract to assert the right to additional time or payment.

The contractor can ignore the change since it is not formally recognized.

The contractor can immediately stop work on the project.

The contractor can renegotiate the entire contract with the owner.

Which of the following scenarios could be considered a constructive change?

The owner rejects work that is in accordance with the contract documents, requiring additional work from the contractor.

The owner provides a change order for additional work that is within the scope of the contract.

The contractor decides to change the materials used without consulting the owner.

The contractor voluntarily decides to upgrade a component of the project at no extra cost.

What is the first step in the general process for constructive changes according to the flowchart?

Owner reviews whether change is legitimate and priced fairly

Contractor completes work and processes claim for constructive change

Owner signs change order to the construction contract and work progresses

What happens if the owner does not approve the change order request?

The contractor completes work and processes claim for constructive change

The contractor stops working immediately

The owner signs change order to the construction contract and work progresses

The contractor determines a new price and resubmits the charge order request

According to the text, what is risky about relying on doctrines such as waiver of the procedural requirements and oral modification of the contract?

They rely on the court's interpretation of the facts in a particular case

They are universally accepted legal practices

They guarantee payment for the contractor

Why should construction contracts contain a provision for addressing conditions discovered on the site that were not anticipated by the parties?

To address conditions discovered on the site that were not anticipated by the parties

To ensure that the project is completed on time

To guarantee a fixed price for the project

To comply with government regulations

What is a common differing site condition that is found in the AIA 201-2017 3.7.4 (the General Conditions) and other standard contracts?

Type I differing site conditions

Type II differing site conditions

Type III differing site conditions

Type IV differing site conditions

To assert a claim of Type I differing site conditions, the contractor must demonstrate that the condition:

differed materially from what was represented in the contract documents

was exactly as represented in the contract documents

was foreseen based on a reasonable investigation of the site

did not cause any delay or additional costs

Which of the following is NOT a requirement for a contractor to assert a claim of Type I differing site conditions?

The condition was usual and could have been reasonably anticipated

The condition was not foreseeable based on a reasonable investigation of the site or interpretation of the contract documents

The contractor gave sufficient notice as required by the contract

The contractor suffered delay and/or incurred additional costs as a result of the condition

For a Type II differing site condition, the contractor must show that the condition:

was unusual and would not have been reasonably anticipated based on the contract documents

was usual and would have been reasonably anticipated based on the contract documents

did not differ from what was represented in the contract documents

was not material to the work being performed

What is the consequence for a contractor if they fail to provide notice within the prescribed time frame according to the AIA documents?

The contractor is barred from recovery.

The contractor is entitled to additional compensation.

The contractor is granted an extension of time for the condition.

The contractor's obligation to perform tests is waived.

What can be a defense for a subcontractor if a site inspection would have revealed a condition that they did not perform such an inspection?

The subcontractor's lack of inspection can be a defense to a claim for increased pay or extended time.

The subcontractor is entitled to increased pay.

The subcontractor can claim extended time for the condition.

The subcontractor is automatically granted additional compensation.

In the case of COMMONWEALTH v. AMEC CIVIL, INC., what was the primary cause of delay in the construction project?

Difficulties in the construction of concrete-filled drilled shafts.

Inaccurate representations in the contract documents.

Ambiguities interpreted against the owner.

The subcontractor's failure to perform a site inspection.

What was the key feature of the contract for the construction of Bridge 616?

The construction of Bridge 616 across Kerr Lake

The renovation of an existing bridge

The installation of traffic signals

What was AMEC's claim against VDOT in May 2006 related to?

Differing site conditions and additional compensation

Delays in construction timelines

How much did the trial court award AMEC in the lawsuit against VDOT?

Approximately 21 million dollars

Approximately 30 million dollars

Approximately 15 million dollars

Approximately 25 million dollars

What does the U.S. Army Corps of Engineers regulate in relation to Kerr Lake's water level?

The water level to prevent flooding downstream

The recreational activities on the lake

What was the critical issue with the construction of Bridge 616 related to Kerr Lake's water level?

The water level was critical to the construction and AMEC could not access the lake to complete the bridge columns when the water level was too high

The water level was too low for construction

The water level had no impact on the construction

The water level was artificially lowered for construction purposes

What did Charlie H. Guerrant testify about the water levels at Kerr Lake in 2003?

They were higher than those encountered in 2003 for a long period

They did not affect the construction

What did Dale V. Goodman state about the high water at Kerr Lake?

It had no impact on the project

What action did AMEC's project manager take in March 2003 regarding the high water levels?

He wrote a letter to VDOT informing them of the situation

He requested immediate project cancellation

He adjusted the project timeline without informing anyone

What was the result of the sustained elevated lake water levels a year later?

VDOT issued two work orders extending the project completion date

The project was completed ahead of schedule

The high water levels were deemed normal

According to the August 2004 letter, what was the reason given by VDOT for the time extension from March 1, 2003, through July 27, 2003?

Unusual period of high-water levels

Differing site conditions encountered during the work

Routine fluctuations in water level

AMEC's request for additional compensation

Under Specification § 104.03, what are the two types of conditions that may warrant additional compensation?

Subsurface or latent physical conditions and unknown physical conditions of an unusual nature

High-water levels and routine water fluctuations

Known conditional risks and non-routine water level fluctuations

Type I condition and Type II condition

What did the Court of Appeals conclude about the "high-water" differing site condition claim by AMEC?

It was defeated because no Type I condition existed

It was valid because the water levels were unforeseeable and unusual

It was accepted because AMEC provided sufficient historical data

It was upheld because the contract had a baseline for water levels

What did AMEC argue in their appeal to this Court regarding the elevated lake water levels?

They constituted a differing site condition

They were routine and should have been expected

They were within the historical range recorded by the U.S. Army Corps

They were accurately factored into AMEC's risk assessment

How did the Court of Appeals apply an improper standard of review according to AMEC?

By reviewing the circuit court's findings de novo

By not considering the historical records of water levels

By establishing a baseline for water level fluctuations

By ignoring the contractual terms for additional compensation

What did the Court of Appeals correctly hold regarding the elevated water levels in the VDOT case?

The elevated water levels were not a Type I differing site condition.

The elevated water levels were a Type I differing site condition.

The elevated water levels were a result of binding representations.

The elevated water levels were a known, unpredictable condition.

According to the case Asphalt Roads & Materials Company, Inc. v. Commonwealth, what is the purpose of the differing site conditions clause?

To shift the risk of adverse subsurface or latent physical conditions from the contractor to the government.

To ensure that the contractor takes on all the risk of subsurface conditions.

To provide a clear definition of what constitutes a Type I and Type II differing site condition.

To encourage low, competitive bids by sharing the risk of differing site conditions.

What did the North Carolina State Highway Commission v. Ray D. Lowder, Inc. case emphasize about the differing site conditions clause?

It is to encourage fair competition by stating that the purpose is to take some of the gamble out of bidding.

It is intended to cover all types of environmental conditions.

It is meant to encourage low bids by assuming all risks.

It is to ensure that the government always bears the risk of differing site conditions.

Contract Changes Quiz

Authored by Eileen Pesantes

Professional Development

University

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74 questions

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MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is considered a significant potential risk when making changes to a construction contract?

The impact on the contractor's schedule

The impact on time and cost

The quality of construction materials

The weather conditions during construction

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which of the following is NOT listed as a source of changes to the contract?

Changes in the materials to be used

Corrections to errors or omissions in the plans or specifications

Changes in government regulations

Acceleration or delays to the work

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the AIA approach to changes in a contract designed to protect?

The interests of the owner, contractor, and subcontractor

The financial stability of the contractor only

The timeline of the project completion

The legal responsibilities of the subcontractor

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

According to the text, what can a contractor not do without providing something additional in return?

Issue a work change proposal request

Charge more money

Agree to a contract change

Evaluate the impacts of a work change

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What does a change order have to meet the same requirements as?

A work change proposal request

A deductive change order

Contract formation requirements such as offer, acceptance, and consideration

The preexisting duty rule

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the first step in the general process for agreed changes according to the flowchart?

Contractor determines price and time impacts of change and gives owner a charge order request

Owner issues formal change order to the construction contract

Owner defines the change and issues a work change proposal request to contractor

Contractor completes the change work

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which of the following is NOT a reason why parties might not agree to a contract change?

The issue actually constitutes a contract change.

The price is inaccurate or unfair.

Whether overhead and profit are fair to include in the change order.

The contractor completes the work in less time than estimated.

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Contract Changes Quiz

What is considered a significant potential risk when making changes to a construction contract?

Which of the following is NOT listed as a source of changes to the contract?

What is the AIA approach to changes in a contract designed to protect?

According to the text, what can a contractor not do without providing something additional in return?

What does a change order have to meet the same requirements as?

What is the first step in the general process for agreed changes according to the flowchart?

Which of the following is NOT a reason why parties might not agree to a contract change?

What happens after the contractor determines the price and time impacts of a change?

What is the final step in the general process for agreed changes as shown in the flowchart?

What does CCD stand for in the context of construction contracts?

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