CONSTRUCTION CONTRACT

TIPS: DIFFERENCE BETWEEN INSTRUCTION AND VARIATION

The below content gives general tips on the difference between Instruction and Variation provisions
in the Construction Contract.

INSTRUCTION
Initiation It will be initiated by the Engineer
Purpose It gives rights to the Engineer to issue
the instruction to the Contractor for
carrying out his duties without varying
the Contract.
Does it impact the No
Contract by default?
Employer’s Consent The Engineer does not need any prior
consent from the Employer before
issuing it.
Contractor’s Notice The contractor must notify back if he
finds that the Instruction
impacts/changes the Contract.
Variation It is not a Variation unless otherwise
confirmed by the Engineer upon the
Contractor’s Notice of Variation
Closing Out It may need a closeout letter from the
Engineer if the Contractor issued a
Notice of Variation.
Next Action Based on closing out, the Contractor
shall take necessary further action as
per the Contract.
VARIATION
It can be initiated by the Engineer
or Contractor.
It gives rights to the Engineer to
vary the Contract.
Yes
The Engineer should have prior
consent from the Employer before
issuing it.
It does not require further notice
for confirmation by the
Contractor.
It is a Variation by default.
It does not need any further
closeout letter.
The Contractor should submit
Variation cost and EOT and
additional cost claim, if any, as per
the Contract.

By:

Sagaya, Director,

M: +971 – 55 368 9767, E: Ku.Sagaya@GoodFaith.LLC

For Good Faith (LLC), Dubai, UAE

www.GoodFaith.App