Changes to contract prices

Contract prices are often set at the beginning of a project. At that time many items may not have been finalised, eg fixtures or fittings. As there is so much uncertainty there are clauses Conditions, promises or demands in a contract. in a contract stating that the agreed price may be altered after the contract has been signed. The clauses will say by how much the contract price may vary.

Photo of a builder and his client. The builder says 'The price to build the house is $100,000.' The client thinks 'Good I'll remember to prepare exactly $100,000.'
Photo of a builder and his client. The client says 'You said $100,000.' The builder says 'Yes, but the variation cost an extra $20,000.'