HKSM

A formal demand by one party to a contract (seller or buyer) asserting a right to consideration, compensation, or payment under the contract, often arising from a disputed change or perceived entitlement.

Key Points

• Either the buyer or the seller can file a claim under the contract.
• Claims rely on contract terms (e.g., scope, change, and payment clauses) and must be documented.
• Common triggers include disputed changes, delays, or differing conditions.
• Handled through claims administration, which may involve negotiation, adjudication, or escalation.

Example

A contractor receives direction to add features before a change order is approved. The work proceeds to meet schedule, increasing costs. The contractor submits a claim to the buyer for the additional labor and materials as allowed by the contract's changes clause.

PMP Example Question

A vendor requests additional payment after implementing a customer-requested change that was disputed and not yet formally approved. Under the contract, what is this request called?

1. Change request
2. Claim
3. Procurement audit
4. Invoice variance

Correct Answer: B — Claim

Explanation: A claim is a formal demand for compensation or other relief under the contract, typically arising from disputed changes or entitlement issues.