Amendment or change order
An amendment changes an existing agreement: more seats, a new price or a longer term. It belongs with the agreement it changes.
Amendment: Modifies a parent agreement: price, seats, or term.
Key takeaways
- Link every amendment to the agreement it modifies.
- Update the parent's figures rather than adding the amendment as new spend.
- Check whether it resets the term or the notice period.
Why are amendments kept out of spend?
The money already sits with the parent agreement. Adding the amendment's figures on top would count the change twice.
What to record
- Which agreement it changes
- What it changes
- Effective date
Frequently asked questions
Can an amendment extend the term?
Yes, and it often does. Update the parent's end date so the renewal calendar stays right.
General working knowledge about commercial contracts, not legal advice. Your own agreement governs.