Construction project violations impact enforcement severity and reputational consequences significantly.
Contract violations in construction projects are common due to uncertainty and complexity. This study looks at different types of violations and how they impact enforcement. Violations of documented obligations and tacitly agreed obligations lead to more severe enforcement compared to violations of unilaterally assumed obligations. The study also found that relational risk perception plays a role in enforcement outcomes. This research sheds light on the importance of contract structure and the positive role of contract ambiguity in enforcement. It also highlights the significance of reputational enforcement in construction projects.