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In this session, we discuss contract modification, which occurs when there's a change in the terms of an ongoing contract. A common example is modifying a cell phone plan with providers like AT&T, Verizon, or T-Mobile—such as adding or increasing a data plan, adding a new line, or reducing features. Companies need to assess whether a modification constitutes a new contract or if it's simply an adjustment of the existing one. The key question is whether the modification creates a new service or obligation or if it’s just an alteration of the current agreement.