CCA Construction Change Orders and Claims

Question 1

A construction change order is a formal written agreement that modifies the original contract by adjusting:

Accepted Answer

Scope, price, and/or schedule as mutually agreed by owner and contractor

Answer

A change order is a bilateral modification to the construction contract that can adjust scope, contract price, and/or the contract completion date.

Question 2

Which red flag suggests that a contractor may be using change orders to recover costs that should have been included in the original bid?

Accepted Answer

A high volume of change orders for items that were reasonably foreseeable at bid time

Answer

Numerous change orders for work that was foreseeable from the bid documents suggests the contractor under-bid intentionally and is recovering costs through change orders.

Question 3

A 'constructive change' in construction contracting occurs when:

Accepted Answer

Owner actions or inactions effectively require the contractor to perform extra work without a formal change order

Answer

A constructive change arises from owner conduct—such as defective plans, differing site conditions, or interference—that forces additional work without explicit written authorization.

Question 4

Which document provides the most reliable contemporaneous evidence to support a contractor's claim for additional compensation due to a differing site condition?

Accepted Answer

Daily field reports, photographs, and third-party geotechnical data recorded at the time of discovery

Answer

Contemporaneous daily reports, site photographs, and independent geotechnical data recorded when the condition was encountered provide the strongest, most credible claim evidence.

Question 5

Under most standard construction contracts, a contractor who proceeds with disputed work without a reservation of rights typically:

Accepted Answer

Waives the right to claim additional compensation for that work

Answer

Performing disputed work without a written reservation of rights is commonly interpreted as acceptance of the existing contract price, waiving additional compensation claims.

(CCA) Certified Construction Auditor Practice Test

(CCA) Certified Construction Auditor Practice Test

CCA Construction Change Orders and Claims