• International conference on construction engineering and project management
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• 2022.06a
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• pp.57-66
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• 2022

Claims and disputes are major causes of cost and schedule overruns in the construction business. In order to manage claims and disputes effectively, it is necessary to analyze various types of contract documents punctually and accurately. Since volume of such documents is so vast, analyzing them in a timely manner is practically very challenging. Recently developed approaches such as artificial intelligence (AI), machine learning algorithms, and natural language processing (NLP) have been applied to various topics in the field of construction contract and claim management. Based on the systematic literature review, this paper analyzed the goals, methodologies, and application results of such approaches. AI methods applied to construction contract management are classified into several categories. This study identified possibilities and limitations of the application of such approaches. This study contributes to providing the directions for how such approaches should be applied to contract management for future studies, which will eventually lead to more effective management of claims and disputes.

• Korean Journal of Construction Engineering and Management
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• v.22 no.4
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• pp.20-28
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• 2021

The Domestic Construction Industry is in the process of changing from a one-sided production method centered on the contractor to a production method in which the order and the contractor can collaborate. Depending on the delivery method, the bid/success method, the contract method, and the degree of business involvement of the order may also vary. In this thesis, in order to introduce 'Construction Management at Risk' suitable for the domestic environment, domestic and foreign institutional analysis, bid process analysis, contract fulfillment and management analysis, post management analysis, and related laws and regulations for legalization In order to suggest a plan for the efficient operation of the system, a system and case analysis of domestic and international construction responsibility type construction project management was conducted. 'Construction Responsible Construction Project Management' defined in the Framework Act on the Construction Industry is divided into the main contract transfer contract, which is a service contract performing pre-con work, and the main contract, which is construction project management and construction contract. Therefore 'Construction Management at Risk' should be regarded as one of the ordering methods rather than a successful bid system, as in the case of overseas, and legalization as a bidding system equivalent to design/construction batch bid and technology proposal is necessary for introduction. In order to introduce 'Construction Management at Risk' suitable for the domestic environment, domestic and foreign institutional analysis, bidding process analysis, contract fulfillment and management analysis, and follow-up management analysis are conducted. A method for efficient operation was suggested so that it can be applied in the domestic market while maintaining the original merits of this system.

• Journal of Information Technology Services
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• v.5 no.1
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• pp.61-81
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• 2006

It is necessary to systematically explore the reform plans of the Software Industrial Promotion Law to systematically a representative high-added value future knowledge-based industry, software industry. The current Software Industrial Promotion Law provides only one provision on software business contract procedures, and the Civil Code, the National Contract law or Subcontract Fairness Law regulate other things, so the features of software industry are not properly reflected. To the contrary, the Information Communication Construction Law or the Construction Basic Law effectively prevent disputes by providing material and detailed provisions. Therefore the current software industry needs to be shifted from promotion to fundamental one. That is, as the software industry takes up a large portion at present, so the law should have basic procedural provisions. Also the National Contract Law governs only the contract procedures of public sector, so there should be business performance procedural provisions to regulate the software business formalities of civil sector. And the National Contract Law controls the sale, construction and service of articles at separate contract procedures, but software business contains construction and service characters simultaneously, so there should be business performance procedures fit for software business. Thus this study presented the legislative need and bill on the performance procedures of software business.

• Journal of Construction Engineering and Project Management
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• v.5 no.3
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• pp.18-28
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• 2015

Bidding and contract systems are used for public construction projects to select contractors following fair competition principles and to execute national budgets effectively. Many challenges have arisen due to a lack of transparency and fairness and because bidding practices have been luck-based. Few comprehensive or comparative analyses have been conducted on the performance and limitations of bidding and contract systems, and empirical analyses designed to improve policies on and the practice of such systems are lacking. This study empirically analyzed current bidding and contract systems to seek ways of improving them. The study proposes several alternatives to resolve the problems with and irrationalities of the current system: 1) improving bidding and selection systems by changing them from a luck-based price competition into a technical merit- and value-based competition; 2) improving the assessment criteria to meet the current market level of bid and winning prices; 3) adjusting contractual responsibilities and sharing structures to meet the current trend; and 4) strengthening the competitiveness and expanding the social responsibility-based procurement systems of construction companies.

• Journal of the Korea Institute of Building Construction
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• v.7 no.4
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• pp.83-91
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• 2007

This study tries to provide concept on establishment of CM license basis, CM selection procedure and CM contract documents through a comparative study of CM services in several CM contract documents in the America. This results of study are summarized as follows; Establishment of basis on the work scopes and legal license of CM company. Establishment of CM selection and contract procedure. Preparation of CM contract documents. Preparation of CM manual.

• International conference on construction engineering and project management
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• 2005.10a
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• pp.469-473
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• 2005

Contract design plays a key role in the life cycle of BOT project. All project management activities and operation processes are arranged in consistence with the document of BOT contract which the public sector ensures that the respective roles and responsibilities set out in the contract are fully understood and fulfilled to the contracted performance criteria. With limited theories to deal with some fundamental issues of BOT contract design, we try to collect data from case studies and formulate several practical principles. The conclusions presented in this paper are analyzed from two cases, one is based on an early case in the United Kingdom, and the other based on the Taiwan High Speed Railway case. The purpose of this paper is not about covering all legal issues about BOT contract design, but rather, our work provides common considerations applicable to the contract parties of a broad range of BOT contracts. The results in this paper shall propose some fundamental principles of the BOT contract design.

• Journal of the Korea Institute of Building Construction
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• v.20 no.6
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• pp.527-535
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• 2020

This study analyzed main causes of claims in EPC/Turnkey projects. For this purpose, this study referred to the FIDIC silver book, which lists the international standard contract conditions for EPC/Turnkey projects. The most frequent cause of claim was delay. A process was then proposed to determine whether the owner or contractor was the responsible party when the delay claim occurred. The proposed process was for damages for delay which is the conditions of contract for indemnities against delay claim. The process was based on conditions of the contract of two previous EPC/Turnkey projects that were constructed in 2010, the FIDIC silver book, as well as the obligations of owner and contactors. The proposed process is applicable depending on the conditions of the contract and the owner's meaning. Furthermore, by identifying the responsible party, this study will contribute in identifying the possible claim types before concluding a contract and writing the specific contract.

• Proceedings of the Korean Institute of Building Construction Conference
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• 2008.05a
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• pp.153-157
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• 2008

The construction market has gradually become complexity, variety and specialization, and then owner's requirements about quality has become various. In order to solve the problem such as stated above, advanced constructions in United Kingdom, Japan and United States have introduced warranty contract which is warranted to quality and performance for need of owner in determined term to ensure the quality of construction since 1960s. However, the interior of a country encounter another problem result from defects liability what indefiniteness of defects standard, excess responsibility period, social recognition of be identical fraudulent work and defects, and contract with ascendancy of owners. etc, so builders concerned more excess defects liability than the quality of construction. The purpose of this study is to analysis of warranty contract in order to solve the problem such as stated above.

• International conference on construction engineering and project management
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• 2005.10a
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• pp.699-704
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• 2005

Normally, monetary penalties for breach of agreement will be stipulated in the contract. The contractor parties, who fail to fulfill the agreement, are required to pay the other parties a certain amount or proportion of money as a fine. However, it is worth our study - whether or not the scope of monetary penalty implementation and bases for determination of a fine will cover the losses of social and administrative costs incurred by the interruption of the contract. This research is about the best timing for government to cancel the freeway repair work contracts. Under the goal of the maximum social welfare, the limitation of government spending for the social and administrative costs invoked by interruption of contracts will have to be considered to attain the best timing of contracts' suspension or deferment. According to the factors of social and administrative costs, the best time point is calculated to reduce the loss of the aforesaid costs, which can also be used as theoretical basis for the future road-widening construction at home.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.25
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• pp.3-40
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• 2005

Many Korean construction companies have been performing a variety of overseas construction projects since the 1970s. It is unfortunate that in many cases they have had to suffer big losses caused by errors and defects in the design and construction of the projects. In the author's opinion, however, there were losses that could have been avoided if they had understood better the feature and content of the particular construction contract. Few lawyers and scholars in Korea have been interested in the research and study of international construction contracts. This is mainly because they do not have access to practical sources outside of Korea for them to research and study since the contracts undertaken have been dealt with by law firms in other jurisdictions to which the disputes apply. This article is aiming primarily at the introduction of the issues which the practitioners are likely to confront in the process of reviewing and performing the international construction contract. In some cases solutions are sought about these issues based upon the FIDIC standard terms and conditions, the actual experience of practice, and UNIDROIT Principles, etc. It is reasonable to say that all the issues related to the international construction contract cannot be covered in a short article like this. The author wishes this article could induce subsequent studies on international construction contracts for further research. It has to be noted that from time to time Korean construction practices have been compared to the international ones for better understanding. This article mostly includes cases where the Korean construction companies go overseas for their projects, while there are some cases where foreign developers and financial investors participated in domestic projects in which international construction contracts forms were adopted. A few precedent domestic writings about international construction contracts seems to lack emphasis on the points that there are several standard construction contract forms and that they are different. The differences are mainly in accordance with who bears the design responsibility, how the owner has to make progress payments to the contractor and who the funding source for the project is. This article tries to make it clear that there are significant differences between the standard contract forms, e.g. a simple construction form, a design-build form and an EPC/turnkey form of contract. Again, the author hopes that this article can arouse the interest in the international construction contracts from both academic and practical fields, so that many subsequent advanced articles can help our construction industry become much more competitive in the world through awareness of the methods of procurement and administration of the contracts.