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A. buyer B. C or D C. owner D. contractor E. seller
As per my opinion, it should be either contractor or seller. buyer always has the minimum risk in this type of contract.
Answer: B -----------------
Unless a clause in the contract refer to a potential variation or modification.
Fixed Price Contracts place more risk for the Seller.
Contractor assumes all risk for costs and subsequent P&L.
It will depends from what side of the table you will be working for. I think the Contractor or seller should predict and incorparate the risk value on them price, but it is not completely solved question, cause the imponderable factors could affect the final profits. The Owner or buyer has the risk of the right accomplishment of technical assets and schedule, that should be a problem in the business, but it could be partially compensate with penalties. Then each one of interested parties are affected with differential risks, and usually will try to mitigate them with hedge (safeguards) clauses.
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