Building and construction/Variations

Variations

Learning resources for Building and construction/BCGBC4008A

Introduction | Web resources | Sample documents | Key points | Case studies | 

Introduction

Variations to a contract may be additions to or deductions from the works to be executed.

Variations are generally requested by the client or the architect but may be generated by the builder due to unforseen circumstances or at the request of the principal certifying authority. It is preferable to have variations approved prior to their execution.

Web resources

• BuildRight toolbox BCGBC4005A Preview General construction toolboxes for examples of site files e.g. variations, purchase orders permits etc.

• Department of Human Services VIC Contract admin. examples of variations, progress claim forms in word docs. & PDF formats

• HIA NSW Residential contracts, authority for; final payments, variations to contracts, extensions of time, notice for practical completion-documents can be purchased on line

• Building Services Authority QLD Definitions of building terms

• BusinessCraft Management systems to record and track variations
• Department Of Consumer and Employment Protection Contract Variations

• Office of Consumer and Business Affairs SA Contract Variations

• Cost variations example (.doc 28KB)
• A collection of general construction links

Sample Documents

• Sample Variation On Letterhead

• Sample Variation- Handwritten Proforma

• BuildRight toolbox BCGBC4005A Preview General construction toolboxes for examples of site files e.g. variations, purchase orders permits etc.

• Department of Human Services VIC Contract admin. examples of variations, progress claim forms in word docs. & PDF formats

• HIA NSW Residential contracts, authority for; final payments, variations to contracts, extensions of time, notice for practical completion-documents can be purchased on line

Key points

1. Contracts will always include procedures for processing variations.

2. Variations can be created due to unforseen matters that could not reasonably be predicted by a competent and skilled contractor at the time the contract was entered in to. For example excavation work where the foundation is suspect or unknown.

3. If a variation is requested by the contractor due to an error on his behalf the owner should not be liable for an increase in the contract price.

4. Approved variations should be paid for at the time of the next progress payment after completion of the varied works.

5. It is not a requirement to get written approval for a variation if there is a danger to persons or a risk of damage to property if the work is not done immediately.

Case studies

• Legal issues with variations Common problems with variations in building contracts.

• Caselaw NSW Mirosevich vs Haddad & Haddad