Construction · Defined
Lump-sum contract
A contract with an agreed price for a defined scope of work, subject to authorized adjustments.
Why it matters
Price certainty depends on scope clarity. A fixed price does not resolve missing design information or establish whether changed conditions are included. Read the exclusions alongside the drawings and specifications.
In practice
A project example
A fixed-price contract covers the building but expressly excludes contaminated-soil disposal.
General educational guidance from KOW Building Consultants. Examples are illustrative, not project records. The applicable contract, standard, program, and jurisdiction control the requirements for a specific assignment.