Contract modification

For tenders that fall within regulation 9(1)(b) and upon the prior approval of the Director: modifications provided for in clear, precise and unequivocal review clauses; necessary additional works, services or supplies by the original contractor; circumstances a diligent contracting authority could not foresee; the replacement of the contractor in the cases listed; and modifications that are not substantial (regulation 246(1)).

For additional works, services or supplies, and for unforeseeable circumstances, any increase in price may not exceed 50% of the value of the original contract (regulation 246(1)(b)(ii), regulation 246(1)(c)(iii)).

Those whose value is below both the thresholds of Schedule 5 and 10% of the initial contract value for service and supply contracts, or 15% for works contracts, provided the modification does not alter the overall nature of the contract. Successive modifications are assessed on their net cumulative value (regulation 246(3)).

Where it renders the contract materially different in character from the one initially concluded, and in any event where it would have allowed other candidates or tenders, changes the economic balance in favour of the contractor, extends the scope considerably, or replaces the contractor outside the cases allowed (regulation 246(5)).

Where the modifications to a tender that falls under regulation 9(1)(b) cumulatively exceed the amounts of Schedule 5 and the 10% or 15% of the initial contract value, the approval of the Director precedes the modification (regulation 247(1)). The Director cannot be asked to approve a modification retroactively; responsibility for an unapproved modification vests in the head of the contracting authority (regulation 251).