An amendment is a change or addition to the terms of a contract, law, government regulatory filing, or other documents.
An amendment is a change or addition to the terms of a contract or document.
An amendment is often an addition or correction that leaves the original document substantially intact.
Other times an amendment can strike the original text entirely and substitute it with new language.
The U.S. Constitution is one example of the use of amendments. It has been amended 27 times.
A contractual amendment generally does not substantially alter or reverse the terms of the document it is attached to. If an agreement needs significant changes, a new contract rather than an amendment generally is drawn up. Any such document can be amended with the consent of the parties involved.
One of the most common types of amendment is a simple extension of the terms of a contract. An amendment might change a price or a deadline, correct a misstatement in the document, or address an unforeseen issue. The parts of the contract that are not amended remain in force. Amendments to documents filed with government regulators are common. For example, when a business changes its name or its ownership, an amendment must be filed with the appropriate government agencies.
Financial documents can be amended as well. Publicly traded companies must report their earnings results to the Securities and Exchange Commission (SEC) on a quarterly as well as annual basis. This report is available to all of the company's stockholders and the general public. If a number is incorrect or a material factor is discovered, an amendment to the earnings report must be filed. In this case, the amendment is called a restatement of financials.