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Material Alteration of Contract

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CarlG

Junior Member
What is the name of your state (only U.S. law)? NY

My company is a group purchasing organization which sends out contracts that belong to our vendors so we can arrange for our members to make purchases. The member needs to fill out and sign these contracts, fax them back to us, and then we forward them to the vendor. In order to facilitate this process I developed software that adds bar codes to the bottom of each contract page so our fax server can route it in the database without manual intervention. These bar codes are the ONLY change we are making to the document. The bar code contains the databse ids for the vendor, the contract, and the page number. One of our managers is concerned that this constitutes a material alteration of the contracts. My argument is that this is no different than a member adding a fax sticker to the document which lists From/To/Date/#Pages.

Does any one see any issues at all with adding these bar codes?

Thanks

Carl
 


tranquility

Senior Member
An alteration which is "material" is one which changes the meaning. By some case law, substantially changes the meaning.
 

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