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37 result(s) for "automated contract analysis"
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Development of an Automated Construction Contract Review Framework Using Large Language Model and Domain Knowledge
Construction contract review demands specialized expertise, requiring comprehensive understanding of both technical and legal aspects. While AI advancements offer potential solutions, two problems exist: LLMs lack sufficient domain-specific knowledge to analyze construction contracts; existing RAG approaches do not effectively utilize domain expertise. This study aims to develop an automated contract review system that integrates domain expertise with AI capabilities while ensuring reliable analysis. By transforming expert knowledge into a structured knowledge base aligned with the SCF classification, the proposed structured knowledge-integrated RAG pipeline is expected to enable context-aware contract analysis. This enhanced performance is achieved through three key components: (1) integrating structured domain knowledge with LLMs, (2) implementing filtering combined with hybrid dense–sparse retrieval mechanisms, and (3) employing reference-based answer generation. Validation using Oman’s standard contract conditions demonstrated the system’s effectiveness in assisting construction professionals with contract analysis. Performance evaluation showed significant improvements, achieving a 52.6% improvement in Context Recall and a 48.3% improvement in Faithfulness compared to basic RAG approaches. This study contributes to enhancing the reliability of construction contract review by applying a structured knowledge-integrated RAG pipeline that enables the accurate retrieval of expert knowledge, thereby addressing the industry’s need for precise contract analysis.
Analyzing Ethereum Smart Contract Vulnerabilities at Scale Based on Inter-Contract Dependency
Smart contracts running on public blockchains are permissionless and decentralized, attracting both developers and malicious participants. Ethereum, the world’s largest decentralized application platform on which more than 40 million smart contracts are running, is frequently challenged by smart contract vulnerabilities. What’s worse, since the homogeneity of a wide range of smart contracts and the increase in inter-contract dependencies, a vulnerability in a certain smart contract could affect a large number of other contracts in Ethereum. However, little is known about how vulnerable contracts affect other on-chain contracts and which contracts can be affected. Thus, we first present the contract dependency graph (CDG) to perform a vulnerability analysis for Ethereum smart contracts, where CDG characterizes inter-contract dependencies formed by DELEGATECALL-type internal transaction in Ethereum. Then, three generic definitions of security violations against CDG are given for finding respective potential victim contracts affected by different types of vulnerable contracts. Further, we construct the CDG with 195,247 smart contracts active in the latest blocks of the Ethereum and verify the above security violations against CDG by detecting three representative known vulnerabilities. Compared to previous large-scale vulnerability analysis, our analysis scheme marks potential victim contracts that can be affected by different types of vulnerable contracts, and identify their possible risks based on the type of security violation actually occurring. The analysis results show that the proportion of potential victim contracts reaches 14.7%, far more than that of corresponding vulnerable contracts (less than 0.02%) in CDG.
Administrative risks challenging the adoption of smart contracts in construction projects
PurposeAs a remedy to usually voluminous, complicated and not easily readable construction contracts, smart contracts can be considered as an effective and alternative solution. However, the construction industry is merely known as a frontrunner for fast adoption of recent technological advancements. Numerous administrative risks challenge construction companies to implement smart contracts. To highlight this issue, this study aims to assess the administrative risks of smart contract adoption in construction projects.Design/methodology/approachA literature survey is conducted to specify administrative risks of smart contracts followed by a pilot study to ensure that the framework is suitable to the research question. The criteria weights are calculated through the fuzzy analytical hierarchy process method, followed by a sensitivity analysis based on degree of fuzziness, which supports the robustness of the developed hierarchy and stability of the results. Then, a focus group discussion (FGD) is performed to discuss the mitigation strategies for the top-level risks in each risk category.FindingsThe final framework consists of 27 sub-criteria, which are categorized under five main criteria, namely, contractual, cultural, managerial, planning and relational. The findings show that (1) regulation change, (2) lack of a driving force, (3) works not accounted in planning, (4) shortcomings of current legal arrangements and (5) lack of dispute resolution mechanism are the top five risks challenging the adoption of smart contracts in construction projects. Risk mitigation strategies based on FGD show that improvements for the semi-automated smart contract drafting are considered more practicable compared to full automation.Originality/valueThe literature is limited in terms of the adoption of smart contracts, while the topic is receiving more attention recently. To support easy prevalence of smart contracts, this study attempts the most challenging aspects of smart contract adoption.
Learning a Metric for Code Readability
In this paper, we explore the concept of code readability and investigate its relation to software quality. With data collected from 120 human annotators, we derive associations between a simple set of local code features and human notions of readability. Using those features, we construct an automated readability measure and show that it can be 80 percent effective and better than a human, on average, at predicting readability judgments. Furthermore, we show that this metric correlates strongly with three measures of software quality: code changes, automated defect reports, and defect log messages. We measure these correlations on over 2.2 million lines of code, as well as longitudinally, over many releases of selected projects. Finally, we discuss the implications of this study on programming language design and engineering practice. For example, our data suggest that comments, in and of themselves, are less important than simple blank lines to local judgments of readability.
Optimising Contract Interpretations with Large Language Models: A Comparative Evaluation of a Vector Database-Powered Chatbot vs. ChatGPT
Frequent ambiguities in contract terms often lead to costly legal disputes and project delays in the construction industry. Large Language Models (LLMs) offer a promising solution, enhancing accuracy and reducing misinterpretations. As studies pointed out, many professionals use LLMs, such as ChatGPT, to assist with their professional tasks at a minor level, such as information retrieval from the Internet and content editing. With access to a construction regulation database, LLMs can automate contract interpretation. However, the lack of Artificial Intelligence tools tailored to industry regulations hinders their adoption in the construction sector. This research addresses the gap by developing and deploying a publicly available specialised chatbot using the ChatGPT language model. The development process includes architectural design, data preparation, vector embeddings, and model integration. The study uses qualitative and quantitative methodologies to evaluate the chatbot’s role in resolving contract-related issues through standardised tests. The specialised chatbot, trained on construction-specific legal information, achieved an average score of 88%, significantly outperforming ChatGPT’s 36%. The integration of a domain-specific language model promises to revolutionise construction practices through increased precision, efficiency, and innovation. These findings demonstrate the potential of optimised language models to transform construction practices.
Protecting Consumer Protection Values in the Fourth Industrial Revolution
We are entering into an era of new technological possibilities. Many benefits will be derived for consumers from the development of data and computer-driven innovation. We will have new products and services and new ways of making and supplying goods and services.Without wanting to inhibit innovation, this article calls for the legal system to remain committed to an ideology and legal framework that supports consumer protection. It will counsel against assuming that the law should give way unduly to the technology agenda, whilst accepting that adaptations should be made and also that there should be a critical review of whether traditional forms of regulation are needed in the Fourth Industrial Age.
Is There Any Pattern Regarding the Vulnerability of Smart Contracts in the Food Supply Chain to a Stressed Event? A Quantile Connectedness Investigation
Blockchain can support the food supply chain in several aspects. Particularly, food traceability and trading across pre-existing contracts can make the supply chain fast, error-free, and support in detecting potential fraud. A proper algorithm, keeping in mind specific geographic, demographic, and additional essential parameters, would let the automated market maker (AMM) supply ample liquidity to pre-determined orders. AMMs are usually run by a set of sequential algorithms called a ‘smart contract’ (SM). Appropriate use of SM reduces food waste, contamination, extra or no delivery in due course, and, possibly most significantly, increases traceability. However, SM has definite vulnerabilities, making it less adaptable at times. We are investigating whether they are genuinely vulnerable during stressful periods or not. We considered seven SM platforms, namely, Fabric, Ethereum (ETH), Waves, NEM (XEM), Tezos (XTZ), Algorand (ALGO), and Stellar (XLM), as the proxies for food supply-chain-based smart contracts from 29 August 2021 to 5 October 2022. This period coincides with three stressed events: Delta (Covid II), Omicron (Covid III), and the Russian invasion of Ukraine. We found strong traces of risk transmission, comovement, and interdependence of SM return among the diversified SMs; however, the SMs focused on the food supply chain ended up as net receivers of shocks at both of the extreme tails. All these SMs share a stronger connection in both positive shocks (bullish) and negative shocks (bearish).
Optimizing Automated Negotiation: Integrating Opponent Modeling with Reinforcement Learning for Strategy Enhancement
Agent-based automated negotiation aims to enhance decision-making processes by predefining negotiation rules, strategies, and objectives to achieve mutually acceptable agreements. However, most existing research primarily focuses on modeling the formal negotiation phase, while neglecting the critical role of opponent analysis during the pre-negotiation stage. Additionally, the impact of opponent selection and classification on strategy formulation is often overlooked. To address these gaps, we propose a novel automated negotiation framework that enables the agent to use reinforcement learning, enhanced by opponent modeling, for strategy optimization during the negotiation stage. Firstly, we analyze the node and network topology characteristics within an agent-based relational network to uncover the potential strength and types of relationships between negotiating parties. Then, these analysis results are used to inform strategy adjustments through reinforcement learning, where different negotiation strategies are selected based on the opponent’s profile. Specifically, agents’ expectations are adjusted according to relationship strength, ensuring that the expectations of negotiating parties are accurately represented across varying levels of relationship strength. Meanwhile, the relationship classification results are used to adjust the discount factor within a Q-learning negotiation algorithm. Finally, we conducted a series of experiments, and comparative analysis demonstrates that our proposed model outperforms existing negotiation frameworks in terms of negotiation efficiency, utility, and fairness.
A Machine Learning-Based Approach for Multi-AGV Dispatching at Automated Container Terminals
The dispatching of automated guided vehicles (AGVs) is essential for efficient horizontal transportation at automated container terminals. Effective planning of AGV transportation can reduce equipment energy consumption and shorten task completion time. Multiple AGVs transport containers between storage blocks and vessels, which can be regarded as the supply sides and demand points of containers. To meet the requirements of shipment in terms of timely and high-efficient delivery, multiple AGVs should be dispatched to deliver containers, which includes assigning tasks and selecting paths. A contract net protocol (CNP) is employed for task assignment in a multiagent system, while machine learning provides a logical alternative, such as Q-learning (QL), for complex path planning. In this study, mathematical models for multi-AGV dispatching are established, and a QL-CNP algorithm is proposed to tackle the multi-AGV dispatching problem (MADP). The distribution of traffic load is balanced for multiple AGVs performing tasks in the road network. The proposed model is validated using a Gurobi solver with a small experiment. Then, QL-CNP is used to conduct experiments with different sizes. The other algorithms, including Dijkstra, GA, and PSO, are also compared with the QL-CNP algorithm. The experimental results demonstrate the superiority of the proposed QL-CNP when addressing the MADP.
Automated Abstractions for Contract Validation
Pre/postcondition-based specifications are commonplace in a variety of software engineering activities that range from requirements through to design and implementation. The fragmented nature of these specifications can hinder validation as it is difficult to understand if the specifications for the various operations fit together well. In this paper, we propose a novel technique for automatically constructing abstractions in the form of behavior models from pre/postcondition-based specifications. Abstraction techniques have been used successfully for addressing the complexity of formal artifacts in software engineering; however, the focus has been, up to now, on abstractions for verification. Our aim is abstraction for validation and hence, different and novel trade-offs between precision and tractability are required. More specifically, in this paper, we define and study enabledness-preserving abstractions, that is, models in which concrete states are grouped according to the set of operations that they enable. The abstraction results in a finite model that is intuitive to validate and which facilitates tracing back to the specification for debugging. The paper also reports on the application of the approach to two industrial strength protocol specifications in which concerns were identified.