Verbal Change Order and a Friday Denial
You are the flooring subcontractor on a 60,000 sf office renovation. The subcontract incorporates the owner's general conditions, which state that no extra work will be paid without a written change order signed by the owner's representative, and that notice of a time impact must be given within five days. On Tuesday the owner's construction manager verbally directs your foreman to add 1,200 sf of LVT in two conference rooms because the finish schedule 'changed at the last minute.' The LVT is in stock, but the area is currently occupied by the electrical contractor, and your crew cannot access it until the following Monday. Your foreman starts the layout that afternoon. On Friday the owner's representative emails, 'We never authorized extra LVT; proceed per contract documents.' The contract completion date is 20 days away, and your schedule has four days of float. The LVT would take two crew-days plus one day for adhesive cure.
1. What should the foreman and project manager have done when the construction manager gave the verbal direction?
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The foreman should not simply start and rely on memory. He should confirm the scope in writing the same day, using email or a field directive: confirm the rooms, the 1,200 sf quantity, the date, and the name of the person giving the direction. The PM should check the subcontract for who has authority to direct changes. If the construction manager is not the owner's representative, the PM should ask for confirmation from the authorized person.
Starting limited layout may be reasonable to avoid delay, but the PM should send written notice that the work is extra, that access is blocked until Monday, and that a time impact is likely. If the contract requires written change orders, state that you are proceeding under protest or only upon written confirmation, depending on the direction received. Take photos, measure the area, and log the electrical contractor's occupancy. Do not stop the entire job over the dispute.
2. How should the PM respond to the Friday email denying authorization?
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Reply in writing, not by phone. Summarize the Tuesday direction, who gave it, the scope, the layout already performed, and the access constraint. State that you will not install the LVT without written authorization unless the contract requires continued performance, and ask for either a signed change order or a written stop direction. If you proceed, keep daily records and separate the extra labor and material from the base contract.
The denial creates a dispute, not necessarily a termination. Preserve the claim by giving the five-day time-impact notice if the Monday access delay will consume float. With 20 days left and four days of float, two crew-days plus one cure day can still fit if access is provided Monday. If access slips, the PM should update the schedule immediately and show the critical-path effect rather than waiting until closeout.
3. If the area is still blocked on Monday, how should the PM document and pursue the time and cost impact?
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Document the blocked access daily with photos, names, times, and the reason given by the electrical contractor or GC. Record any crew reassignment so the claim shows actual cost, not just lost time. Calculate the direct impact: two crew-days for LVT, one cure day, and any extended general conditions if the completion date moves. Give written notice within the five-day period and state that the delay is owner-caused.
Mitigate by moving the crew to other available areas; a claim is stronger when you show you did not sit idle. If the delay consumes only float, claim cost but not time. If it pushes past the contract date, submit a time-impact analysis and a change order request. If the owner refuses, proceed under protest if directed, preserve rights, and keep the claim separate from the base contract billing.