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Saturday, May 17, 2025

Amending an existing contract

Looking forward to the future of business

Yesterday this post joined a meeting regarding the meeting for signing of an amended contract.

Since Friday last week there was a request for the meeting to review the contract.  This was the result of a month long effort by the parties of the contractor, a CE and project officer, plus the redrafting of the legal consultant.  There was another scheduled meeting last Monday, and then Wednesday, and then finally we had this last Thursday.

My impression upon seeing the draft was the document was a new contract. There was a recitation of articles that are in a new contract (and were recited before in the old contract) However in reality there were 3 things that need to be documented as ageed upon:

1.  That the contractor changed org from enterprise to a corporation;
2.   That there was a request and approved verbally for an x amount of escalation;
3.   That there were additions and subtraction in the scope of work

So I suggersted that:
1.  The title of the agreement was "Amendment to a Cosntruction Contract"
2.   And incorporate at the above 3 in the amendment as a resolution or course of action.

I was apprehensive that these suggestions opinions would be contrary to the legal counsel draft and their discussion  A draft could be made and signed yesterday Friday.  But the new heads opted for a legal counsel review

A new contract that was presented was a novation and that meant you have opened yourself to:
     1.  Doing an operation without contract
     2.  More changes etc

An addendum or amendment would be simpler and in keeping with the spirit of reality

This post met with the contractor and explained the situaiton ie that the amendment (the revision of the docs) is subject to review and verbally told him that essentially we have agreed on 1 to 3.  He was satisfied.  

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