A contract amendment is a formal change made to an existing agreement between parties. This change can involve adding, removing, or altering specific terms and conditions of the original contract. Amendments are often necessary when circumstances change, ensuring that the contract remains relevant and enforceable. To create a valid contract amendment, all parties involved must agree to the changes and sign the amended document. This process helps maintain clarity and mutual understanding, preventing potential disputes. It is important to document any amendments properly to ensure they are legally binding and recognized in the context of the original contract.