Variation

Status

Optional (see Notes section below)

Source
Additional information
Guidance

This clause sets out a simple process for varying the Contract; and outlines the requirement for written agreement.

Drafters should particularly note that inclusion of this clause will not necessarily prevent claims in estoppel or a court finding that verbal or other informally ‘agreed’ variations are valid and binding.

Clauses

Variation

X.1    Any agreement or understanding to vary or extend the Contract will not be legally binding upon either Party unless in writing and agreed by both Parties.

Notes

While use of this clause is optional, contracts generally include a clause of this type.

Standardisation of contractual text results in efficiencies for both Parties to a contract. Before deciding whether a particular clause is appropriate, procurement officials should carefully consider the context of their procurement.

Clause wording would generally need to be changed where the Customer has identified a specific form/method for variations to contracts, for example, use of a contract change form or the identification of a particular person or delegate who is responsible for agreeing to variations.

Otherwise, where this clause is included, the clause wording should be used without change.

Terms that are capitalised may need to be changed to align with the Contract terminology.


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