What is the exam-ready distinction?
| Roadmap post | 200 of 500 |
|---|---|
| Official syllabus topic | Contracts: Addenda, Amendments, and Contract Changes |
| Official PSI area | Contracts |
| Published weight | 19% of the 100-question national portion |
| Source edition | PSI Georgia Candidate Information Bulletin dated July 1, 2026 |
| Content checked through | August 2, 2026 |
The Rule
PSI publishes a weight for the complete official area, not a guaranteed count for this individual comparison. Use the source, document, actor, event, and timing stated in the question before applying a memorized definition.
Side-by-side comparison
Read across each row. The terms are deliberately compared on identical dimensions so the difference remains clear when the exam hides the vocabulary inside a scenario.
| Decision dimension | Addendum | Amendment |
|---|---|---|
| Function | Adds supplementary terms or material to the agreement package | Changes an existing contract term |
| Typical timing | At formation or as part of the documents initially agreed | After an existing agreement is formed |
| Example | Financing or property-condition addendum incorporated into the offer | Written change to closing date or price after binding agreement |
| Legal requirement | Must be incorporated and agreed as required | Needs mutual agreement, authority, consideration where required, and required form |
Decision rule
Georgia-specific distinction
Worked example
Scenario. After a binding Georgia purchase agreement, buyer and seller sign a form moving closing from September 10 to September 24.
Reason it through. The parties are changing an existing contract term after formation.
Answer. The document functions as an amendment.
Common exam traps
- Using page count to classify the document
- Assuming labels override legal effect
- Changing a contract without all required agreement
- Letting a licensee give legal-effect advice
Original practice questions with detailed explanations
These are original instructional questions mapped to the July 1, 2026 PSI outline. They are not copied from PSI or any live examination. Choose an answer before opening the explanation.
Question 1What document changes the closing date after a contract is binding?
- A. An amendment
- B. A deed
- C. A CMA
- D. A title policy
Show answer and explanation →
Answer: A. An amendment
An amendment is correct. An addendum supplements the agreement with additional terms or information and is commonly included when the contract is formed. An amendment changes a term of an existing contract after formation. Forms may use labels differently, so the legal effect and timing control more than the document title. The rejected choices are A deed; A CMA; A title policy. Each misses the legal category or controlling fact stated in the rule.
Question 2After a binding Georgia purchase agreement, buyer and seller sign a form moving closing from September 10 to September 24.
- A. It is necessarily an addendum because a new page was attached.
- B. The document functions as an amendment.
- C. It is a counteroffer because the original contract remains binding during the change.
- D. It is an assignment because the date changed.
Show answer and explanation →
Answer: B. The document functions as an amendment.
The parties are changing an existing contract term after formation. Therefore, The document functions as an amendment. The other choices fail because they replace those controlling facts with a neighboring concept or an unsupported absolute rule.
Question 3What should a candidate identify first when comparing Addendum Versus Amendment?
- A. The option with the longest definition, without classifying the facts.
- B. A memorized Georgia rule, even when the question asks for a national concept.
- C. Ask whether the document supplements the original agreement package or changes a term after a binding contract already exists.
- D. The answer that sounds most favorable to the buyer, regardless of the document or event.
Show answer and explanation →
Answer: C. Ask whether the document supplements the original agreement package or changes a term after a binding contract already exists.
Ask whether the document supplements the original agreement package or changes a term after a binding contract already exists. That sequence identifies the legal category before the label. Choosing by definition length ignores the facts, importing a Georgia rule can answer the wrong jurisdictional question, and favoring one party substitutes sympathy for classification.
Mastery tracking
Mark this distinction mastered only when every statement is true.
- Define every compared term without using the other term as the definition.
- Rebuild the comparison table from memory.
- State the decision rule and Georgia distinction without notes.
- Solve the worked example after changing one controlling fact.
- Explain why every trap and distractor is tempting but wrong.
- Answer all three original questions correctly in mixed practice on a later day.
Recommended next lesson
Continue with Assignment Versus Novation. Continue to roadmap comparison 201.
Return to the complete exam-concept library or the Contracts hub.