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Is $5,000 to increase excavation cost for garage construction a fair price?

Project Details

We are nearing the end of a garage construction project, which has a total cost of $115,000. Our general contractor has just informed us of a change work order for an increased cost of excavation, which actually happened five months ago at the start of the project. It's unclear how long the contractor has known about this increased cost or why we are only being informed now. Our site is rocky, so it's possible they simply underestimated what it would take to excavate. Our overall experience with this contractor has been fine—not great but not horrible—though I don't think we would work with him again or recommend him to others without reservations. We are not in the habit of stiffing people for work completed, but we just want to manage our expectations about how annoyed we should be in the grand scheme of things, especially regarding the proper protocol for informing us of this price change.

Quote Details

This change order is for an increased cost of excavation work that was performed five months ago at the start of the garage construction project. The original estimated cost for excavation in the contract was approximately $5,000, and the new proposed cost is approximately $10,000, resulting in an increase of $5,000. The site is rocky, which may have led to an underestimation of the excavation effort. - Original estimated excavation cost: ~$5,000 - New proposed excavation cost: ~$10,000 - Reason for increase: Potentially underestimated excavation due to rocky site conditions - Timing: Change order issued five months after excavation work was completed - Contract clauses referenced: "unknown physical conditions" or "equitable adjustment" clauses in Section B of the contract.

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More Details

Category

Other

Price

$5,000

Quote Date

July 10, 2025

Location

New York

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