Understanding Change Orders in Michigan Construction Projects

Change is part of every construction project.  But when those changes are not handled properly, they can quickly lead to disputes.

That’s where change orders come in.

What Is a Change Order?

A change order is a written agreement that modifies the original scope of work and/or contract price.

It typically includes documenting: 

• A description of the additional and/or revised work 

• The contract price adjustment associated with the change required / requested 

• Any impact on the project timeline

Without this documentation, disagreements are much more likely.

Why Change Orders Cause Problems

Many disputes arise because: 

• Work is performed before approval is documented 

• Pricing isn’t clearly agreed upon 

• Verbal agreements are relied upon rather than a written change order

Even small changes can turn into larger issues if expectations are not aligned.

Why Written Approval Matters

In Michigan construction disputes, documentation is everything.

Without a signed change order:

• Contractors may not be paid for additional work 

• Owners may argue the work was unauthorized

Having everything in writing protects each party if a dispute arises later.

Best Practices for Avoiding Disputes

To reduce risk:

• Require written approval before starting extra work 

• Clearly outline all pricing and payment terms 

• Keep detailed records of all project changes

Consistency is key. The more structured your process, the fewer issues you will face.

A Simple Step That Saves Big Problems

Change orders might seem like a small administrative task, but they play a major role in protecting your project.

When properly documented, change orders manage expectations, control budgets, and minimize disputes.

If you are dealing with a construction dispute, delayed payment, or contract issue, taking the right steps early can protect your business and your bottom line. Contact Sadecki & Associates at 248.328.1300 to discuss your situation.