MS STATEMississippi Supreme Court
2007

Tupelo Redevelopment Agency v. Gray Corp.

972 So. 2d 495Mississippi Supreme Court • Decided 2007Enforced
Change OrderFlow-DownCited 92 times

HOLDING

Gray Corporation contracted with the Tupelo Redevelopment Agency to build a fairgrounds project. During construction, TRA issued change orders after work had already started and indicated more would follow. When disputes arose over payment, the court ruled that TRA had waived its strict change order requirements through this pattern of conduct. This matters to subcontractors because it shows courts will enforce changes even when formal procedures aren't followed if the owner's actions suggest they accept informal change processes.

KEY FINDINGS

Change Order

Document every instance where the owner issues change orders after work begins or promises future change orders—this pattern can waive strict contractual requirements

Flow-Down

If an owner consistently handles changes informally, you may have legal protection even without following the exact change order procedure in your contract

FULL COURT OPINION