Direct construction control method is based on, literally, the direct contract between owner and specialty contractors without involvement of a general contractor. The owner conducts the role of a general contactor as well as owner's original responsibility while construction works being executed by specialty contractors. Owing to higher risks brought by this unusual delivery system, performance bond is regarded more important in this method. However, the legislation and practice for performance bond in Korea do not reflect the characteristics of construction projects and direct construction control method properly. Therefore, this paper aimed to figure out the problems and improve the current status in issuing bond and processing guaranteed obligation. The operation systems concerning performance bond in advanced countries and the actual cases in direct construction control method were reviewed, and the improvement plan was established based on implications from them.
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