Summer 2024 CCSF Contractor Tools Summer 2024 | Page 42

HOW AN ESCALATION CLAUSE

CAN PROTECT LBEs

By including an escalation clause in the contract , local business enterprises ( LBEs ) can protect themselves against unexpected cost increases and ensure that they are fairly compensated for their work .
The clause protects the contractor by allowing for adjustments to the contract price through the following circumstances :
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