Jan. 23, 2018, Webinar: How the Difference Between Extra Work and Additional Work Can Impact Claims for Payment
Date: January 23, 2018
Most construction contracts have change order provisions that require a written change order signed by the general contractor (identifying the work and the change in contract price for the additional work) in order for the subcontractor to get paid for doing work beyond the scope of the contract. Sometimes there is disagreement about whether the work is within the contract scope of work or not. Other times, a subcontractor must decide whether the time lost arguing over the change order in advance is worth the delay costs and may decide to do the work in advance of getting the change.
When deciding to proceed with work outside the contract scope without a change order, it is important to understand whether the work is “extra” work or “additional” work because the subcontractor will have an equitable claim for the cost of the former if it makes sure to establish certain required elements of the claim. However, if the work is “additional” work, an equitable claim (one outside of contract law based upon equity / fairness) will not lie.
Extra work is work that was not contemplated by the contracting parties at the time of the contract and the performance of which is not necessary to fulfill the performance obligations of the subcontractor. Additional work is work which was contemplated by the parties at the time of contracting but which may have been thought or anticipated to be unnecessary to perform the scope of work.
In this webinar, Jay Morris, Galloway Johnson Tompkins Burr & Smith, will help subcontractors identify the difference between extra work and additional work so that they can better decide on whether to proceed with the work without a change order or not (in order to avoid general breach or delay damages). Failure to do additional work can result in a general breach. Knowing the difference between the two can also help the subcontractor better defined the scope of work (knowing the particular risk of each job) so that the potential additional work can be properly excluded from the scope of work at the time of contracting so that if it must be done, the subcontractor can establish the elements of an equitable claim if not doing the work may hinder its ability to efficiently perform the actual contracted work.
Presenter: Jay Morris, Galloway Johnson Tompkins Burr & Smith
Registration Fee: $99 for ASA members / $179 for nonmembers
Please note: If you are registering someone else for this webinar using their ASA account, instructions for completing this registration and reminder emails will be sent to the email address on account for that individual.