Construction Contract Risk Assignment.

Abstract

This report presents the results of an investigation to determine the cost effects of varying the assignment of risk between the owner and contractor in firm fixed-price contruction contracts. Among the topics included are a working definition of risk, a risk classification upon which a construction process risk model is based, a discussion of techniques for contractually assigning risk, a discussion of the applicability of utility theory for analyzing the assignment of risk in construction, an example which models the cost effects of varying the assignment of risks, and implementation considerations. (Author)

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Document Details

Document Type
Technical Report
Publication Date
Jun 01, 1979
Accession Number
ADA071623

Entities

People

  • Carl A. Erikson
  • Michael J. O’connor

Organizations

  • Construction Engineering Research Laboratory

Tags

Communities of Interest

  • Human Systems
  • Space

DTIC Thesaurus Topics

  • Business Administration
  • Civil Engineering
  • Construction
  • Contract Administration
  • Contractors
  • Contracts
  • Cost Overruns
  • Engineering
  • Engineers
  • Fixed Price Contracts
  • Flood Damage
  • Floods
  • Probability
  • Probability Distributions
  • Risk
  • Risk Analysis
  • Risk Management

Readers

  • Aviation Safety Risk Assessment.
  • Government Contracting/Procurement.
  • Systems Analysis and Design