Abstract

The dynamic nature and increasing complexity of the construction industry have led to increased conflicts in construction projects. An accurate prediction of the outcome of a dispute resolution in courts could effectively reduce the number of disputes that would otherwise conclude by spending more money through litigation. This study aims to introduce a two-layered fuzzy logic model for predicting court decisions in construction contract disputes. 100 cases of construction contract disputes are selected from the courts of Iran. A questionnaire survey is then conducted to extract a set of fuzzy rules for identifying important decision parameters and expert knowledge. Accordingly, a two-layered fuzzy logic-based decision-making architecture is proposed for the prediction model. Furthermore, the fuzzy system is trained based on 10-fold cross-validation. Analysis of results indicates that 51 out of the 100 cases are filed after the dissolution and termination of the contract show a significant impact of these clauses as the root cause in construction contract disputes. Our results present a proposed hierarchical fuzzy system that can correctly predict nearly 60% of the test data. Also, we demonstrate a methodology of using argument before ML to establish interpretable AI models. Based on our findings, a fuzzy model with a hierarchical structure may be used as a simple and efficient method for predicting court decisions in construction contract disputes.