Changes that Involve Both a Credit and Deduction Clause Samples

The "Changes that Involve Both a Credit and Deduction" clause defines how contract modifications that simultaneously increase and decrease the contract price are handled. In practice, this clause applies when a change order results in both additional work (leading to a cost increase) and reduced work (resulting in a cost decrease), such as substituting one material for another or altering project scope. Its core function is to ensure that both credits and deductions are considered together, providing a net adjustment to the contract price and preventing disputes over how such changes are valued.