Free sample letter for variation claims in construction

It is ideal to anticipate probable problems so that solutions are already conceived. Problems are inevitable, thus to them must be prepared. This building contract variation template is free and editable for you - and makes your variation process more professional and streamlined. This Precedent is a letter of variation that can be used to vary a building contract in relation to a construction project. It can be used to record amendments that have been agreed between an employer and a contractor and can also be adapted for use with a consultant’s appointment.

It sets out the rights and obligations of the parties and it informs the contractor of the steps to be taken when a variation claim arises. Unfortunately, some contractors only read their contract document when there’s a problem. Usually, by then it’s too late.

A construction claim will provide the reader with insight as to why claims are made by the house owner or the housing society against the contractor. Variations or Extra Work. Contractors are entitled to be paid for extra work required during the execution of the Contract. Extra work or variations shown on drawings are generally picked up in the course of re-measurement if the Contract Price is re-measurable. EPC) contract or designbuild contract , where a more precise - measure of quantities is necessary to obtain a lump-sum or fixed-price bid from a contractor.

If no acknowledgement is forthcoming, then the contractor should submit a claim for the variation. Establish why the instruction comprises a variation. Change can appear inevitable, but when it comes to variation claims on a construction project, it can also be costly and confusing for all parties, including contractors, owners and financiers. A component of a construction claim often relates to the cost, quantity, and quality of the materials that the contractor installed on a project.

A variation quotation prepared by the contractor and accepted by the client. By some other method agreed by the contractor and the client. The cost consultant. Such letters are purely professional documents and are often written by externally sourced agents for a fee. Contractor: Date: Project Manager: AGREED CONTINGENCY: $ - VARIATIONS APPROVED TO DATE: $ - ADD THIS VARIATION SUMMARY No.

Service providers can also send the claim letters to their customers when there is an offer or sales in their service. Share During the Middle East’s construction boom, the traditional tendency towards informal commercial arrangements and negotiations often got the job done. Even under unsavory circumstances, the claim letter should keep all the formalities of letter writing in mind and be civil. In case of legal claim letters, the due procedures of the law must be observe and the document verified by the necessary authorities. If you are submitting a claim for an EOT, you will need to be able to demonstrate that the variation affects an item on the critical path of the current construction program.

A letter of claim is the document in which the claimant first sets out the nature of their complaint against the defendant and the redress they are seeking. Often claims are rejected because they don’t include all the correct and required information. In some cases, these claims end up in expensive legal disputes. Claim Letter Format. Instructions in the sample text below have been highlighted in yellow.

Below are two options which may apply: Use Option when all the effects advised by the Contractor are agreed. Sample text for letter to the Contractor. A claim for the cost of variations. Sometimes called additional work or extras, a contractor may claim for a variation when the employer changes the contractor’s scope of work. Standard form contracts usually include a clause that defines what a variation is and provide a procedure to value the variation.

IMPORTANT TIPS: At the top most corner following date, as usual in letters , write the name of the person with rank and address to whom you are addressing. Construction industry—Law and legislation—Great Britain—Forms.