Sometimes there could be a change in the terms and conditions that were agreed upon in the contract, for example a change in the provider rate. Such changes are managed by amending the contract, if the contract is already activated.
Most of the time, the change in contract terms only involves the rate element. As there is a single rate defined for a flat-rate contract, it is not possible to edit the contract and change the rate. The contract has to be terminated and a new one must be created effective the date of the rate change.
But for utilization contracts, rates can be maintained for different periods of time within the contract period. If there is a rate change, the contract can be amended with the rate change without changing the contract period. Amending the contract results in the creation of a new version. The amended contract is then issued and activated. The terms in the new contract supersede the previous contract terms.