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OnDemand Course

Avoiding Unintended Contract Modifications

Learn to identify which elements of a construction project are likely to be at risk for changes.

All contractors, subcontractors, suppliers, design professionals and others involved in construction projects encounter changes to a construction contract because the construction contract cannot define each and every design issue, differing site conditions, issue with labor including strikes, weather impacts, scope changes by the owner or the owner's client, material shortages, specified manufacturers going out of business and numerous other contingencies. The parties to the construction of a facility do not always understand the implications of these contract modifications and their responsibility when an unforeseen or uncontemplated event occurs. They also do not understand that, by their their action or inaction, they may be unintentionally modifying their contract. This topic helps those involved in construction identify which elements of a construction project are likely to be at risk for changes. The material also explains the method required for addressing these modifications and changes under the terms of the contract, what to do if there is no contract provision addressing these problems and steps to take to avoid unintentionally modifying your contract. The content will also address modifications to a contract which are so impactful that they become a cardinal change to the contract and may relieve a party from future performance.

Learning Objectives

  • You will be able to describe waiver and estoppel applications to contract modification.
  • You will be able to explain a No Oral Modification Clause and its Impact.
  • You will be able to identify the provisions of a contract that are most prone to being modified.
  • You will be able to recognize what constitutes a cardinal change to a construction contract.

89 minutes
Course Exam
Certificate of Completion
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Agenda

Contract Terms Which Are Prone to Be Modified

  • General Terms and Conditions
    • Payment Terms
    • Termination Provisions
    • Change Order Provisions
    • Disputed Work
    • Timing and Delay Provisions
    • Labor Provisions
    • Waiver Provisions
    • Warranty Provisions
    • Dispute Resolution Provisions
    • Closeout Provisions
  • Scope of Work Terms
  • Additional and Supplemental Terms

Contract Modification Procedure After Contract Is Signed

  • The Explicit Language of the Contract Regarding Modification
    • No Oral Modification Provision
  • Change Orders and Construction Change Directives
  • Changes Due to Applicable Law
    • Provisions That Are Void as Against Public Policy
  • Cardinal Changes to a Construction Contract
  • The Implied Modification of a Contract
    • Waiver of No Oral Modification Provision
    • Parties' Course of Conduct
    • When Is a Contractee Bound by Implied Terms in the Contract?
    • Disputed Work
    • Conflicts in Addressing Implied Contract Modification

Amendment or Close-out Agreement

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Over 35 years and 1.4 million customers worth of experience providing continuing education. Our passion is providing you world-class training to help you succeed in business and as a professional.

Credits

OnDemand Course

This course was last revised on January 30, 2019.

Call 1-866-352-9540 for further credit information.

This program does NOT qualify, nor meet the National Standard for NASBA accreditation.

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Why Lorman?

Over 35 years and 1.4 million customers worth of experience providing continuing education. Our passion is providing you world-class training to help you succeed in business and as a professional.

Faculty

Michael D. Ganz

Michael D. Ganz

Tunstead & Schechter

  • Partner at Tunstead & Schechter, Jericho, New York
  • Practice consists of general construction litigation and transactional matters, representing contractors, subcontractors, owners, architects, engineers and sureties
  • American Arbitration Association – Construction Panelist
  • Past chairman of New York County Lawyer’s Association – Construction Law Committee
  • Legal counsel to Regional Electrical Contractors Association
  • Lecturer on construction law issues to attorneys, design professionals and contractors
  • Former project engineer for both public and private construction projects with a degree in mechanical engineering representing both owners and contractors
  • J.D. degree, Brooklyn Law School; B.S. degree, mechanical engineering, SUNY at Buffalo
  • Can be contacted at (516) 822-4400 or [email protected]
Jason L. Rothman

Jason L. Rothman

Forchelli, Curto, Deegan, Schwartz, Mineo & Terrana, LLP

  • Partner at Forchelli, Curto, Deegan, Schwartz, Mineo & Terrana, LLP, Uniondale, New York
  • Practice concentrated in representing owners, contractors, subcontractors, construction managers, design professionals and suppliers in all manner of disputes, litigation and transactional matters
  • Regular lecturer on construction law issues and topics
  • J.D. degree, cum laude, St. John’s University School of Law
  • Can be contacted at (516) 248-1700 or [email protected]
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Product ID: 404794
Published 2019
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