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ARTICLE · 08 NOVEMBER 2021

COVID-19 Riders For Construction Change Orders

Seyfarth Shaw LLP
Seyfarth Shaw LLP
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Seyfarth Shaw LLP

Seyfarth Shaw LLP

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The cost and time to perform change order work may increase as a result of COVID-19 impacts that arise after the change order is agreed upon.

United StatesCoronavirus (COVID-19)

Issue

The cost and time to perform change order work may increase as a result of COVID-19 impacts that arise after the change order is agreed upon. The Contractor can include contingencies for that risk in its lump sum pricing, but the Owner will have paid an unnecessary premium if those impacts do not materialize.

Proposed Solution

Consider utilizing a COVID-19 Rider with your change orders. The Rider details the types of COVID-19 impacts that entitle the Contractor to relief, as well as the specific relief. This allows the parties to use their standard process and format for change orders, with the COVID-19 issues addressed in the Rider. A one-page Rider is often all you need. The primary issues to address in the Rider are discussed below.

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