Certified Professional Contract Manager (CPCM) 2025 – 400 Free Practice Questions to Pass the Exam

A supplemental agreement is correctly defined as a bilateral change that modifies an existing contract. In contract management, this type of agreement serves to make amendments or additions to the terms and conditions of a contract that is already in place. Such modifications can involve adjustments to the scope of work, pricing, timelines, or other critical elements of the contract.

This bilateral nature is important because it indicates that both parties to the original contract must agree to the changes, ensuring that any amendments are mutually understood and accepted. The formalization of these changes through a supplemental agreement helps maintain clarity in the contractual relationship and provides a documented reference for any future disputes or performances that arise under the modified contract terms.

In contrast, the other options do not accurately capture the nature of a supplemental agreement in this context, as they pertain to distinct types of agreements or aspects of contract management that do not align with the concept of a modification to an existing contract.