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Work Variance Agreement

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Work Variance Agreement

This Work Variance Agreement (the Agreement) is entered into as of by and between Client Name: (Client) and Provider Name: (Provider). Client and Provider are individually a Party and collectively the Parties.

WHEREAS

WHEREAS, the Parties entered into a principal agreement identified as the original agreement dated (Original Agreement) governing certain work to be performed by Provider for Client; and

WHEREAS, the Parties now desire to document a variance to the Original Agreement addressing changes in scope, schedule, and compensation as set forth in this Agreement;

NOW, THEREFORE, in consideration of the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are acknowledged, the Parties agree as follows:

1. Scope of Work

The variance to the Original Agreement is limited to the following description of work, deliverables, and any modifications to performance obligations. Provider shall perform the work in accordance with the schedule and specifications set forth below and in any attachments incorporated by reference.

2. Payment Terms

In consideration for the additional or altered work described in Section 1, Client agrees to compensate Provider as follows. All monetary amounts are in United States dollars unless otherwise indicated.

3. Term and Termination

This Agreement shall become effective on the Start Date below and shall terminate on the End Date below unless earlier terminated in accordance with this Section.

Start Date:    End Date:

Either Party may terminate this Agreement for material breach by the other Party if the breaching Party fails to cure the breach within the notice period specified above following written notice. Termination shall not relieve either Party of obligations accrued prior to termination, including payment for work performed and reasonable costs incurred.

4. Confidentiality

Each Party acknowledges that, in connection with this Agreement, it may receive Confidential Information of the other Party. Confidential Information means non-public information disclosed in any form that is designated confidential or that should reasonably be understood to be confidential. Each receiving Party shall: (a) use Confidential Information solely to perform its obligations under this Agreement; (b) protect Confidential Information with at least the same degree of care it uses to protect its own confidential information, but in no event less than reasonable care; and (c) not disclose Confidential Information to any third party except to its employees, agents, or subcontractors who have a need to know and who are bound by confidentiality obligations at least as protective as those herein.

5. Indemnification and Limitation of Liability

Each Party shall indemnify, defend, and hold harmless the other Party from and against any third-party claims arising from the indemnifying Party's gross negligence or willful misconduct in connection with the performance of this Agreement. Except for liability arising from a Party's gross negligence, willful misconduct, or breach of confidentiality, neither Party shall be liable to the other for consequential, special, or punitive damages. The Parties agree that the aggregate liability of either Party under this Agreement shall not exceed the total additional compensation paid under Section 2.

6. Notices

All notices required or permitted under this Agreement shall be in writing and shall be delivered by hand, nationally-recognized overnight courier, or certified mail (return receipt requested) to the addresses below or such other address as either Party shall designate by written notice.

7. Governing Law

This Agreement shall be governed by and construed in accordance with the laws of the State of without regard to principles of conflicts of law.

8. Entire Agreement; Amendment

This Agreement, together with the Original Agreement to the extent expressly amended by this document and any attachments hereto, constitutes the entire agreement between the Parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements, understandings, negotiations and discussions, whether oral or written. No amendment or modification of this Agreement shall be effective unless in writing and signed by authorized representatives of both Parties.

9. Miscellaneous

If any provision of this Agreement is held to be invalid or unenforceable, that provision shall be modified to the minimum extent necessary to make it enforceable, or if modification is not possible, severed, and the remaining provisions shall remain in full force and effect. Headings are for convenience only and do not affect interpretation.

Client - Print Name:

By:

Date:

Provider - Print Name:

By:

Date:

Enter text✕

What a Work Variance Agreement Is and When It Applies

A Work Variance Agreement documents an approved deviation from an original scope of work, schedule, or specification for a specific project or task. It records the requested change, the approving authority, any cost or time impacts, and conditions for acceptance. The agreement creates a clear, signed record that binds the requester and approver to the revised terms, and it can be used to update contracts, change orders, or safety plans. Use it whenever work will differ materially from the contracted requirements to reduce disputes and ensure accountability.

Why documenting variances matters

A Work Variance Agreement reduces ambiguity by documenting authorized changes, associated costs, and revised timelines. It protects parties from later disputes, clarifies responsibility for additional work, and creates an evidentiary record suitable for contract administration and compliance reviews.

Why documenting variances matters

Who commonly completes and signs this agreement

Use this agreement template when a project requires documented approval for changes to scope, schedule, or methods that affect cost or safety.

  • Project managers and contractors seeking formal authorization for scope or schedule changes.
  • Safety officers documenting procedural deviations that have regulatory or insurance implications.
  • Owners, engineers, and subcontractors who must acknowledge cost or performance impacts in writing.

Keep executed copies with contract files, change orders, and payment records to support invoicing, audits, and any future claims.

Essential elements included in a professional Work Variance Agreement

Core elements of a professional Work Variance Agreement ensure clarity on scope, cost, schedule, approvals, responsibilities, and recordkeeping for audits and claims.

Scope Change

Describe the precise deviation from the original scope, include referenced contract sections or drawings, quantify deliverables affected, and state any temporary or permanent nature of the change to avoid differing interpretations later.

Cost and Payment

List added or reduced costs, pricing basis (unit, lump sum, time and materials), payment milestones, retainage adjustments, and whether the change triggers invoice or change order procedures under the prime contract.

Schedule Impact

Specify revised start and completion dates, float or critical path effects, interim milestones, acceleration or delay responsibilities, and acceptance criteria tied to inspected deliverables or testing milestones.

Approvals

Identify who may approve variances by title and signature authority, include delegated limits, required countersignatures, and documentation of verbal approvals followed by written confirmation where permitted.

Risk & Liability

Allocate responsibility for defects, warranties, third-party claims, insurance coverage, and safety incidents arising from the variance; note indemnity, hold harmless language, or insurance endorsements if required.

Recordkeeping

Specify where signed originals and electronic copies will be stored, retention periods, access controls, and evidence required for audits or claims, including photos, inspection reports, or site diaries.

Step-by-step: completing and executing a variance

Follow these steps to complete and execute a Work Variance Agreement with clear approvals and traceable records.

  • 01
    Prepare Request: Describe change, attach supporting documents, and estimate impacts.
  • 02
    Review: Responsible party reviews scope, cost, and schedule effects.
  • 03
    Approve: Authorized signatory signs and dates; countersign as required.
  • 04
    Record: Store executed copy in project files and notify stakeholders.

How to configure an online workflow for rapid approvals

Configure your online workflow to collect signatures, enforce field requirements, and route approvals electronically with audit trails.

Field Configuration
Signature Authentication and Verification Method Email link by default; optional SMS code or KBA.
Field Validation Rules and Conditions Mark required fields; use conditional visibility for dependent items.
Sequential Routing Order and Email Notifications Set signer sequence; send automatic status updates to stakeholders.
Archive Location, Access Controls, and Retention Save final PDF to project repository with access controls and retention tags.

Where to send, approve, and store the executed agreement

Typical filing and routing steps for variance agreements show who receives, approves, and stores the executed document.

  • Submit Request: Originator uploads form and supporting files.
  • Internal Review: Project team evaluates impacts and recommends disposition.
  • Authorized Approval: Designated approver signs; optional legal review occurs.
  • Distribution: Distribute executed copy to stakeholders and update logs.

Technical requirements for digital signing and submission

Digital signing and eSubmission require compatibility with ESIGN/UETA, signer authentication, tamper-evident storage, and an auditable signature trail.

  • File Formats: PDF, DOCX, and ZIP accepted.
  • Authentication Options: Email, SMS, SSO, and KBA available.
  • Integrations: Connect to Salesforce, NetSuite, Google Workspace, Box.

Typical timelines and processing expectations

Typical deadlines and processing expectations for variance approvals depend on project complexity, risk level, and contractual notice requirements.

Request Submission and Acknowledgement Window:

Submit as soon as change is identified; acknowledge within 48 hours preferably.

Internal Review and Technical Assessment Period:

Typical review is three to seven business days for low-risk changes; longer for complex impacts.

Final Approval Turnaround and Notification Time:

Aim for approval within five business days after review completes; emergency variances may take hours.

Implementation Deadline and Work Resumption Window:

Resume changed work only after signed approval; follow any staged implementation dates.

Record Retention Start and Availability Period:

Retention begins on execution date; make executed copies available for audits.

Common preparation errors to avoid

  • Failing to quantify cost or schedule impacts leads to disputed invoices, delayed payments, and potential contract claims if parties disagree on change scope.
  • Using vague language or undefined terms such as 'reasonable effort' creates ambiguity that undermines enforceability and increases litigation risk.
  • Not documenting verbal approvals or failing to follow required countersignature procedures can render a variance nonbinding in disputes.
  • Omitting attachments like drawings, change calculations, or inspection reports removes critical evidence and can delay acceptance or payment processing.

Primary risks and legal consequences of errors

Contract Dispute: Claims, litigation expenses.
Stop-Work Order: Project delays, lost productivity.
Payment Withholding: Reduced or delayed payments.
Insurance Denial: Coverage dispute risk.
Regulatory Penalty: Safety violations fines.
Reputational Harm: Client trust erosion.

Support files, exports, and audit evidence to include with the agreement

Supporting documents and export options help integrate variance agreements into project records, accounting, and compliance systems for audits and contract management.

Download Formats

Provide signed copies in PDF/A for archival, searchable PDF for indexing, and DOCX for internal edits; ensure the platform preserves signature metadata and audit trails when exporting.

Supporting Files

Attach drawings, change calculations, photos, inspection reports, and subcontractor correspondence. Label exhibits clearly and reference them in the variance body for evidentiary clarity. Keep digital originals with timestamps.

Version Control

Use a naming convention and version numbers; record who made each change, when, and why. Maintain prior versions to support claims or audits electronically and securely.

Audit Trail

Retain an auditable record showing signer identity, authentication method, IP address, cryptographic timestamp where available, and a field-level change log. Include an exportable chain-of-custody and human-readable audit certificate for compliance reviews.

How to update or amend an executed variance

To update a signed variance, follow a short amendment workflow that captures consent, reauthorizes costs, and preserves prior records for legal continuity.

01

Initiate Amendment:

Create amendment referencing original variance.
02

Notify Parties:

Send proposed amendment to all signatories.
03

Collect Signatures:

Obtain signatures using same authentication level.
04

Attach Exhibits:

Include updated drawings or cost breakdowns.
05

Record Version:

Increment version number and store executed copy.
06

Communicate Changes:

Notify operations, accounting, and compliance teams.

Key milestones from request to closeout

Key milestones track the variance from request through closeout to ensure clear handoffs and auditable records at each stage.

01

Request Submitted

Originator files variance request with documentation attached.

02

Technical Review Completed

Engineering verifies impacts and recommends remedial actions.

03

Management Approval Granted

Authorized approver signs; budget updates recorded.

04

Work Implemented and Closed

Execute revised work, inspect deliverables, and archive records.

Pricing and feature snapshot for signature solutions (signNow first)

Basic vendor comparison focusing on price, trial availability, bulk send, audit trail, HIPAA compliance, and envelope limits.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Varies by plan Varies by plan Varies by plan Varies by plan
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No
Envelope Cap No cap 100 envelopes/user/year Varies by plan Varies by plan Varies by plan

Frequently asked questions about executing and managing variances

Answers to common questions about validity, signing, notarization, and recordkeeping for Work Variance Agreements executed electronically or on paper.


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