Who is responsible for paying an overage incurred due to a change order?

Study for the Texas Promulgated Contracts Exam. Gain understanding with detailed explanations and various question formats. Prepare effectively and ace your test!

In the context of construction contracts and change orders, the buyer typically bears responsibility for any overages incurred. A change order represents an amendment to the original contract, often initiated by the buyer due to changes in project scope, design, or materials. As such, when additional costs arise from these modifications, it is generally the buyer's responsibility to cover these expenses.

This accountability aligns with the principle that the buyer, who directly requests the changes, is expected to financially support any adjustments that lead to increased costs. The seller's role is primarily to execute the work outlined in the contract; hence, they are not liable for additional costs that result from modifications initiated by the buyer.

In contrast, the other responses imply shared or exclusive financial responsibility by entities not typically held accountable for change order-related overages. This clarification helps illuminate the contractual obligations and financial responsibilities inherent in construction agreements.

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