Rights and obligations of the parties in revenue sharing construction contracts

As one of the sectors that contributes significantly to the national economy, the construction industry has given rise to various types of construction contracts in line with market demands. Revenue-sharing construction contracts have emerged as a response to these needs and, unlike other types of construction contracts, are established with the primary aim of generating direct economic profit for the parties involved. In general, under a revenue-sharing construction contract, the contractor undertakes to construct independent units on a plot of land owned by the landowner and is obligated to facilitate the sale of these units. Meanwhile, the landowner allocates the land for the project and is obliged to share the proceeds from the sale of the independent units with the contractor. This study consists of two main parts. The first part addresses the definition, types, elements, legal nature, and formal characteristics of the contract, along with a comparison to similar types of contracts. The second part examines the rights and obligations of the parties to the contract, namely the landowner and the contractor.