This thesis investigates partnering as a new form of cooperation in the construction industry in Denmark. The analysis of partnering contracts in this thesis is based on a contract which concerns the construction of a building in the Copenhagen zoological garden. The main focus in the legal analysis will be to uncover the main purpose of the contract, and whether the partnering agreement can be seen as a legally binding agreement. First an interpretation of the clauses of the contract will be conducted. After having determined the main purpose of the agreement, Danish contract law will be used to investigate the binding effect of the partnering agreement. Since the partnering agreement is being conducted successively based on a framework agreement, the parties’ enter the agreement in a different manner, than what is the case in most traditional construction contracts. The consequences of this way of conducting the agreement are therefore analyzed. To start of the economic analyses of the partnering agreement, the agreement will be analyzed as an incomplete contract. This will show how partnering agreements can minimize some of the problems that arise, in connection to the incomplete contract. These problems arise due to the uncertainty that is present, under limited rationality and opportunism. The main focus of the economic analyses will be an analysis of the governance structure of the partnering agreement. The governance structure will be analyzed by using a transaction cost theory, with the main focus on Oliver E. Williamson’s theory of governance structure. Using the right degree of regulation within the agreement, the parties can make the transaction more efficient and optimize the final output of the agreement. The finale chapter of the thesis put the partnering agreement into perspective using parts of both the legal analysis an economic analyses. By analyzing some special characteristics of the agreement, in reference to the legal contract and the theory of transaction cost economics, it is shown how disclosure, trust and cooperation are essential in order to fulfill the agreement and its purpose.
|Educations||MSc in Commercial Law, (Graduate Programme) Final Thesis|
|Number of pages||91|