Common use of Cost Adjustments Clause in Contracts

Cost Adjustments. Increases in costs resulting from Change Orders or items selected by the buyer which exceed the allowances specified in the Construction Documents shall be paid by the buyer at the time of signing the Change Order(s) or purchase of additional items. All payments made towards change orders are non-refundable in the event this contract does not close, whether by default by buyer, or seller, or by mutual termination. Refer to the contract addendum for other requirements in processing Change Orders.