Variations or deviations in works contracts are discussed

1. CONTRACT CONDITIONS - II:
VARIATIONS/DEVIATIONS
Dr K M Soni, ADG(Retd.), CPWD,
New Delhi

2. Variations/Deviations
• Variations or Deviations are the changes from
the scope of work of a contract resulting during
execution of work except duration of the
contract.
• Mostly, Variations or Deviations are considered
the changes from the quantities or items of the
bill of quantities (Schedule of quantities) of a
contract resulting during execution of work as
changes in design, quantity or conditions
ultimately lead to affect BOQ/SOQ.

3. Variations/Deviations
• Variation/Deviation in quantities of items
• Extra items
• Substituted items

4. Deviation in Quantities
• These are the deviations or variations from
the quantities taken in Bill of Quantities or
Schedule of Quantities
• These are the items for which rates are
available in the contract
• The deviations/variations may be +ve or –ve
i.e. Quantities may increase or decrease from
the quantities available in BOQ/SOQ

5. Reasons of Deviations in Quantities
• Wrong assessment or mistake during preparation of detailed
estimate/BOQ/tender documents
• Assessment of quantities without availability of
architectural, structural or MEP drawings.
• Revision of drawings/design
• Revision due to local bye laws or local body agencies
• Revision due to non availability of materials at a particular
time
• Revisions due to client, architect, or engineer and contractor

6. Rates of Deviations in Quantities
• Rates of such items are available in the contract
• Deviations are +ve or –ve
• Rates can be based on;
• Available in contract for all deviations
• Rates available in the contract upto additional quantities
as mentioned in the contract (deviation limit, described in
percentage) and beyond it, market rates, Schedule rates
+/- quoted percentage, Schedule rates or cost plus basis or
any other method as mentioned in the contract or agreed
upon by the parties.

7. Extra or Additional items
• Items that are completely new and in addition
to the items contained in the contract
• These are the items other than those available
in BOQ and not covered in the conditions of
contract
• In some contracts, these are the items which are
not available in contract and not taken up in
substitution of items available in BOQ

8. Reasons of Extra/Additional items
• Left or mistake during preparation of detailed estimate/BOQ/tender
documents
• Specifications not available during preparation of detailed estimate/BOQ
• Non availability of architectural, structural or MEP drawings during
preparation of detailed estimate/tender document
• Revision of drawings/design
• Revision due to local bye laws or local body agencies
• Revision due to non availability of materials at a particular time
• Items not anticipated during preparation of tender documents i.e.
Contingent items
• Revisions due to client, architect, or engineer and contractor

9. Rates of Extra or Additional Items
• Market rates
• Schedule rates +/- quoted percentage
• Schedule rates
• Cost plus basis or
• Any other method as mentioned in the
contract or agreed upon by the parties.

10. Substituted item
• Items taken up as partial substitution or in
lieu of items of work available in the contract
• Therefore, the items are basically due to
change of specifications during execution
from those considered during preparation of
detailed estimate/BOQ/tender documents

11. Reasons of Substituted items
• Specifications/drawings not available during preparation of
detailed estimate/BOQ i.e. Non availability of architectural,
structural or MEP drawings
• Revision of drawings/design/specifications
• Revision due to local bye laws or local body agencies
• Revision due to non availability of materials or non
feasibility of the execution of the item at a particular time
• Revisions due to client, architect, or engineer and contractor

12. Rates of Substituted Items
• Agreement rates increased or decreased by the
difference in market rates of item substituted
compared to market rates of agreement item
• Market rates
• Schedule rates +/- quoted percentage
• Schedule rates
• Cost plus basis or
• Any other method as mentioned in the contract
or agreed upon by the parties.

13. Implications of Variations/ Deviations
• Extension of time
• Possible justification of regularisation of delay caused
by the contractor
• Chances of non compatibility of such items with
respect to other services
• Source of Disputes about the rates, time extension,
loss of profit, idle establishment and thus arbitration
• Delayed decisions
• Non approval of items and rates of variations
• Time overrun and cost overrun

14. Thanks for attending
Dr K M Soni, ADG (Retd.), CPWD, New Delhi
Also available on Youtube: KRISHNA MURARI Soni at
https://www.youtube.com/channel/UC_pPYxk0jI1ayqA5rO6fBOw