When a contract described as Guaranteed Maximum Price (GMP), does it mean that is the most the contractor can receive, no matter what changes there are in the project?

JCT_Experts · 4 February 2013 14:45

The name of this contractual type would seem to suggest that the price stipulated in the contract is the maximum possible price. In fact, if the employer is responsible for extra costs incurred during work then the GMP is simply amended.

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When a contract described as Guaranteed Maximum Price (GMP), does it mean that is the most the contractor can receive, no matter what changes there are in the project?

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