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Change Order Pricing Dispute Did Not Excuse Walk-off Changes-directed

Wednesday, November 03, 2004 03:10 pm

Change Order Pricing Dispute Did Not Excuse Walk-off Changes-directed

A Missouri court has ruled that the failure to agree on change order pricing did not justify a subcontractor's abandonment of the work. But the prime contractor failed to segregate the cost of completing the base scope of work from the change order work.

The Fru-Con/Fluor Daniel Joint Venture was constructing a paper products manufacturing facility for Proctor and Gamble in Cape Girardeau, Missouri. The Joint Venture subcontracted the piping work to Corrigan Brothers, Inc.

The subcontract contained a rather typical Changes clause allowing the prime contractor to direct in writing changes, addit [...]

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