Gao, Y; Gan, Y; Chen, Y and Chen, Y (2025) Application of large language models to intelligently analyze long construction contract texts. Construction Management and Economics, 43(3), pp. 226-242. ISSN 0144-6193
Abstract
The emergence of large language models (LLMs) has provided an opportunity to assist humans in quickly reading, searching, and understanding the contents of construction contracts. However, the limited context length of LLMs restricts their ability to process lengthy contract documents, which hinders their application in the construction industry. This study proposes intelligent analysis methods for long construction contracts, which enables LLMs to handle contracts that exceed their context length through a two-stage text segmentation. We further utilized the segmented text chunks for content compression and intelligent question-answering applications. The FIDIC contract was used for testing. A condensed version of lengthy contracts summarizes the provisions in a shorter format. It maintains a high level of correctness and readability, offering practitioners additional options to read contracts of varying lengths based on their needs. The satisfaction rate of the question-answering outcomes reached 93.3%, allowing practitioners to quickly obtain specific clauses of interest and relevant contract knowledge through personalized queries. The performance of the 8K model using our methods is comparable to that of the 128K long-text models, while reducing computational power. This study expands the potential for applications of LLMs in contract management within the construction industry.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | construction contracts; content compression; intelligent question-answering; large language models; long text analysis |
| Index terms: | emergence, practitioner, contract document, large language model, text analysis, compression, contract management, testing, construction industry, option, construction contract, FIDIC, satisfaction |
| Subjects: | contract type, standard forms of contract, practitioner, analytical methods, professional practice, contract management, project delivery, data science, material properties and characteristics, contractual condition, decision analysis, systems engineering, industry analysis |
| Topics: | Contract Administration, Roles and Professions, Construction Materials, Research Practice, Procurement, Risk Management, Engineering Principles, Project Management |
| Descriptive scope: | 4 PCTA |
N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here