contract value

USAGE SUMMARY

The phrase "contract value" is correct and commonly used in written English.
It refers to the specific amount of money stated in a contract as the agreed-upon value of the goods or services to be provided. Example: The contract value for the construction of the new office building was $5 million.

✓ Grammatically correct

News & Media

Science

Formal & Business

Human-verified examples from authoritative sources

Exact Expressions

57 human-written examples

The original estimated contract value was £3m.

The Guardian

The anticipated contract value is US$60 100 million.

Fuel Cells Bulletin

BAE will receive about two-thirds of the contract value.

The New York Times

The back-door payment represented 30% of the contract value.

The Guardian

With its contract value of £30,000, this was one of the smallest winning projects.

The Guardian - Lifestyle

Over all, "the possible contract value can be up to USD: 37.5 million," the statement said.

The New York Times

The company said its total contract value had slipped from £5.1bn last year to £4.7bn.

The Guardian - Business

The building was developed in Birmingham, UK and the contract value was circa £36 million (UK Sterling, 2015).

Automation in Construction

Human-verified similar examples from authoritative sources

Similar Expressions

3 human-written examples

The Red Cross contracts significantly increased the contract values for community detention.

The Guardian

And DoD has many low-volume suppliers: Among all contractors, 86% had contract values less than $1 million and 61% had contracts valued at less than $100,000.

Harvard Business Review

Detailed negotiations on the contract, valued at 20 billion, or $27.7 billion, would then continue until the end of this year.

The New York Times

Expert writing Tips

Best practice

Always clarify whether the "contract value" includes taxes, fees, or other additional costs to provide a comprehensive understanding of the total financial commitment.

Common error

Avoid using "contract value" interchangeably with project cost. "Contract value" refers to the agreed-upon price, while project cost includes all expenses incurred during the project's execution, which may exceed the initial contract amount.

Linguistic Context

The phrase "contract value" functions primarily as a noun phrase. It serves to identify and quantify the financial worth associated with a contractual agreement. This is evidenced by Ludwig, where it's often used as the object of a preposition (e.g., "of the contract value") or as a subject complemented by a verb (e.g., "contract value is").

Expression frequency: Very common

Frequent in

News & Media

37%

Science

35%

Formal & Business

15%

Less common in

Academia

7%

Wiki

3%

Reference

3%

Ludwig's WRAP-UP

In summary, "contract value" refers to the monetary worth of a contractual agreement, serving to define the price set in legally binding deals. According to Ludwig AI, the phrase is grammatically correct and frequently encountered across a variety of contexts, but it is most commonly found in News & Media and Science sources. To enhance clarity, it's advisable to specify the currency and include all additional fees. Remember not to mistake the "contract value" with the total project cost. Finally, consider using alternative phrases such as "agreement value" or "deal value" depending on the specific context.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

value of the contract

A more verbose way of referring to the "contract value".

agreement value

Focuses on the overall worth assigned to the agreement itself, rather than just the financial aspect.

deal value

Highlights the total financial consideration exchanged in a business deal or transaction.

transaction value

Emphasizes the monetary worth of the exchange taking place within the contract.

total contract worth

Specifies the aggregate sum representing the entire financial obligation of the contract.

projected contract revenue

Highlights the anticipated income or earnings expected from the contract over its duration.

estimated contract cost

Emphasizes the anticipated expenses associated with fulfilling the contract's obligations.

annual contract revenue

Focuses on the yearly income generated by the contract, rather than the total value.

contractual consideration

Highlights the legally binding aspect of the contract's value and the exchange of value.

financial commitment

Underlines the monetary obligation the parties have undertaken in the contract.

FAQs

How is the "contract value" determined?

The "contract value" is typically determined through negotiation between the parties involved, considering factors like the scope of work, materials, labor, and market conditions. It represents the agreed-upon price for the goods or services provided under the contract.

What factors influence the "contract value"?

Several factors can influence the "contract value", including the complexity of the project, the duration of the contract, the level of expertise required, and the availability of resources. External factors like inflation and regulatory changes can also affect the final value.

What's the difference between "contract value" and "market value"?

"Contract value" is the specific price agreed upon in a contract, while "market value" represents the prevailing price for similar goods or services in the open market. The contract value may differ from the market value due to negotiation, unique requirements, or specific circumstances.

Can the "contract value" be changed after the contract is signed?

Yes, the "contract value" can be changed after the contract is signed through a formal amendment or change order. These modifications typically require mutual agreement from all parties and must be documented in writing to be legally binding.