A model for evaluating the potential of litigation due to contract ambiguity in international construction projects

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Tez_Ahmethan Y.oğlu 17.08.2022.pdf

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2022-8

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Yenişehirlioğlu, Ahmethan

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Disputes are unavoidable due to the unique interests of the parties and the challenging, complex and oppositional nature of the industry in the construction sector. For this reason, many researchers have conducted studies on disputes and dispute resolution in construction projects. Litigation, which is the last resort of disputes, is an unwelcomed process for all parties causing loss of time, money and reputation. In this respect, both the owner and the contractor require to prevent the factors that cause disputes which may result in litigation. The aim of this study is to develop a model for evaluating the potential of litigation due to contract ambiguity in international construction projects. The model will enable the evaluation of the potential of litigation due to contract ambiguity and will assist the owner to reduce and eliminate the factors that are increasing the contract ambiguity for decreasing the litigation potential. The model developed is an instrument to be used for evaluating the effects of ambiguity to potential of litigation rather than a prediction of litigation. The ultimate model established disclosed the importance of the effect of the ambiguity in the contract and its annexes on the disputes and litigation processes. Thanks to the model developed by determining the factors that constitute ambiguity in the contract and specifying the statistically significant ones among them, an analytical relationship with relatively high prediction performance has been provided between contract ambiguity and litigation. In this study, it is revealed that the notion of ambiguity with a holistic approach should be taken into account when determining and studying the reasons for disputes. Both contractors and owners may have the opportunity to develop their own risk and contingency strategies and project management approaches in the contract preparation and bidding stages, thanks to this developed model.

Subject Keywords

Ambiguity, Dispute, Logistic Regression, Neural Network, Support Vector Machine

URI

https://hdl.handle.net/11511/98595

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Graduate School of Natural and Applied Sciences, Thesis

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Citation Formats

A. Yenişehirlioğlu, “A model for evaluating the potential of litigation due to contract ambiguity in international construction projects,” M.S. - Master of Science, Middle East Technical University, 2022.