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Construction Guide
What Is a Change Order Dispute in Alabama?
5 min read· Alabama Business Law · Serving AL, GA & SC
Where Is Your Dispute?
This Guide Covers Alabama. Choose Your State.
Contract deadlines and forums differ sharply in each state we serve. Read this question answered under the law of the state where your dispute sits.
Alabama
Six years on written contracts (Ala. Code § 6-2-34)
You are reading the Alabama guide
Georgia
Six years on written contracts (O.C.G.A. § 9-3-24)
Read the Georgia guide
South Carolina
Three years on written contracts (S.C. Code § 15-3-530)
Read the South Carolina guideThe Short Answer
A change order dispute in Alabama arises when the parties disagree about work that differs from the original construction contract, often over whether extra work was authorized, what it should cost, or how much time it adds. Most contracts require written, signed change orders before extra work is performed. When a contractor performs changed work without proper authorization, payment disputes follow, though doctrines like waiver and unjust enrichment can sometimes support recovery.
Overview
Overview
Few things are performed exactly as drawn. Change orders are the mechanism for handling the inevitable adjustments to scope, schedule, and price, and disputes erupt when that mechanism is not followed.
This guide explains what change order disputes involve in Alabama and how to protect your right to payment for changed work. It is educational and not legal advice on your project.
Why Change Orders Cause Disputes
Construction contracts almost always include a procedure for changes, typically requiring a written, signed change order specifying the added scope, cost, and time before the work proceeds. Disputes arise when work is performed without following that procedure.
Common flashpoints include whether the work was truly 'extra' or already within the contract, whether it was authorized, and how to price work that was done under time pressure without a signed order.
The Risk of Verbal or Unsigned Changes
Performing changed work on a verbal instruction or a handshake is risky. If the contract requires written change orders, the paying party may later dispute the obligation to pay for unauthorized extra work.
The safest practice is to insist on a signed change order before performing, and to confirm any field directives in writing. Documentation is the contractor's best protection.
Recovering for Unauthorized Extra Work
Even without a signed change order, recovery is sometimes possible. Doctrines such as waiver (where the owner's conduct shows it did not insist on the written-change requirement) or unjust enrichment may support payment for work that benefited the owner.
These arguments are fact-specific and harder than enforcing a signed change order, which is why following the contract's change procedure remains the best path to getting paid.
An Illustrative Example
An Illustrative Example
A Hoover contractor performs significant extra work on a verbal 'go ahead' from the owner's site manager, with no signed change order, and the owner later refuses to pay for it.
If the contract requires written change orders, the owner may dispute paying for the unauthorized extra work. The contractor's remaining arguments, waiver or unjust enrichment, are harder to establish than enforcing a signed change order would have been.
This scenario is a simplified, illustrative hypothetical to explain how the law generally works. It is not a real case and is not a prediction or guarantee of any particular outcome.
Key Takeaways
Key Takeaways
Most contracts require written, signed change orders before extra work.
Disputes arise over authorization, scope, cost, and added time.
Verbal or unsigned changes create payment risk for contractors.
Waiver and unjust enrichment can sometimes support recovery.
Documenting changes in writing is the best protection.
For a construction matter in Alabama
Our Birmingham and Hoover business litigators handle these disputes. Read more about our work on construction disputes, or call to discuss the matter. The initial consultation is confidential and without charge.
Frequently Asked Questions
Frequently Asked Questions
Can I get paid for extra work without a signed change order?
Sometimes. Doctrines like waiver or unjust enrichment may allow recovery if the owner authorized or benefited from the work, but these arguments are harder than enforcing a signed change order.
What should a change order include?
Generally the added or deleted scope, the adjusted price, and any change to the schedule, signed by the authorized parties before the work proceeds. Clear documentation prevents later disputes.
Does a verbal change order count?
It depends on the contract. If the contract requires written change orders, relying on a verbal instruction is risky, though the owner's conduct may sometimes waive the written requirement.
This guide is provided for general educational purposes only and does not constitute legal advice or create an attorney-client relationship. Alabama law and its application depend on the specific facts of your situation and can change over time. For advice about your matter, speak with a licensed Alabama attorney.