A Variation Agreement is essential when parties need to modify an existing contract without completely replacing it. This document type is commonly used across various industries in the United States when circumstances require adjustments to original terms, such as scope changes, timeline modifications, or price adjustments. The Variation Agreement must comply with state-specific contract laws and federal regulations, ensuring that modifications are legally binding and enforceable. It typically includes references to the original agreement, specific details of the variations, and confirmation of unchanged terms.
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1. Parties: Identification of all parties to the original agreement and variation
2. Background: Reference to original agreement and reason for variation
3. Definitions: Key terms used in the variation agreement
4. Variation Details: Specific changes being made to the original agreement
5. Effective Date: When the variations take effect
6. Confirmation of Other Terms: Confirmation that all other terms remain unchanged
7. Governing Law: Jurisdiction governing the variation
1. Consideration: Details of any new consideration, if required
2. Conditions Precedent: Conditions that must be met before variation takes effect
3. Third Party Consents: Details of required third party approvals
1. Schedule of Variations: Detailed list of all modifications to the original agreement
2. Marked-up Original Agreement: Original agreement showing tracked changes
3. Required Consents: Copies of third party consents or approvals
4. Updated Payment Terms: If variation includes changes to financial terms
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