FIDIC glossary · Procedures

Variation

Variation

In short

A change to the Works initiated by the Engineer/Employer under Clause 13; valued, and may adjust price and time.

What is a Variation?

A Variation is a change to the Works made under the contract. It is the only lawful way to change the scope, quality or sequence of work after signature: an informal "just do it this way" creates a dispute, not an obligation.

The Engineer initiates it, either by instruction or by request for proposal. The Contractor must comply — but must also object if the change is technically impossible, affects safety, or requires goods that cannot be obtained. The objection has to be immediate and in writing.

Valuation follows a hierarchy: an applicable rate from the Bill of Quantities, then a rate derived by analogy, and only then a new rate. A Variation almost always carries time consequences too, so the question of an Extension of Time is raised alongside the money.

The line between a Variation and a claim causes constant confusion. A Variation is when the Employer or Engineer changed the scope. A claim is when a circumstance arose on its own — unforeseeable conditions, delayed access — and you are seeking compensation. They are documented differently, and mistaking one for the other is expensive.

Where it sits in the contract

Related terms

Need this read against your own contract?

This explains how the mechanism works in the standard form. How it works in your contract, after the Particular Conditions, is a separate question.

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A reference explanation of the FIDIC standard conditions. Not legal advice, and not a reproduction of the FIDIC books.