diff --git a/PR.md b/PR.md
new file mode 100644
index 000000000..3f8758dbc
--- /dev/null
+++ b/PR.md
@@ -0,0 +1,15 @@
+## Summary
+- prevent circular `referredSemanticId` chains in `DefaultReference` by rejecting self/indirect cycles during assignment
+- add unit tests that cover self and indirect cycles plus happy-path acyclic chains
+- include JUnit dependency in the model module to compile the new tests
+
+## Background
+Jackson XML serialization blew up with a StackOverflow when `Reference.referredSemanticId` contained a cycle (e.g., `Reference -> Reference -> same Reference`). The model allowed such graphs because the setter did not guard against cycles. This PR keeps the model acyclic so downstream serializers do not need custom circular-reference handling.
+
+## Implementation Notes
+- cycle detection uses identity (not equals) to avoid false positives from structurally equal references
+- the guard walks the `referredSemanticId` chain once and fails fast with a clear `IllegalArgumentException` message
+- tests cover self-reference, indirect cycles, and a valid chain
+
+## Testing
+- `mvn -pl model test -Dmaven.repo.local=./.m2`
diff --git a/model/pom.xml b/model/pom.xml
index db21bf29e..ab2226b22 100644
--- a/model/pom.xml
+++ b/model/pom.xml
@@ -17,6 +17,13 @@
     <description>This project includes a Java representation of the classes defined in the Asset Administration Shell ontology.</description>
     <name>Asset Administration Shell Java Model</name>
 
+    <dependencies>
+        <dependency>
+            <groupId>junit</groupId>
+            <artifactId>junit</artifactId>
+            <scope>test</scope>
+        </dependency>
+    </dependencies>
 
     <properties>
         <maven.compiler.source>1.8</maven.compiler.source>
diff --git a/model/src/main/java/org/eclipse/digitaltwin/aas4j/v3/model/impl/DefaultReference.java b/model/src/main/java/org/eclipse/digitaltwin/aas4j/v3/model/impl/DefaultReference.java
index a19a091e5..e5ab804fd 100644
--- a/model/src/main/java/org/eclipse/digitaltwin/aas4j/v3/model/impl/DefaultReference.java
+++ b/model/src/main/java/org/eclipse/digitaltwin/aas4j/v3/model/impl/DefaultReference.java
@@ -16,8 +16,11 @@
 package org.eclipse.digitaltwin.aas4j.v3.model.impl;
 
 import java.util.ArrayList;
+import java.util.Collections;
+import java.util.IdentityHashMap;
 import java.util.List;
 import java.util.Objects;
+import java.util.Set;
 import org.eclipse.digitaltwin.aas4j.v3.model.Key;
 import org.eclipse.digitaltwin.aas4j.v3.model.Reference;
 import org.eclipse.digitaltwin.aas4j.v3.model.ReferenceTypes;
@@ -93,6 +96,7 @@ public Reference getReferredSemanticId() {
 
   @Override
   public void setReferredSemanticId(Reference referredSemanticId) {
+    validateReferredSemanticId(referredSemanticId);
     this.referredSemanticId = referredSemanticId;
   }
 
@@ -119,4 +123,19 @@ protected DefaultReference newBuildingInstance() {
       return new DefaultReference();
     }
   }
+
+  private void validateReferredSemanticId(Reference referredSemanticId) {
+    if (referredSemanticId == null) {
+      return;
+    }
+    Set<Reference> visited = Collections.newSetFromMap(new IdentityHashMap<>());
+    Reference current = referredSemanticId;
+    while (current != null) {
+      if (current == this || !visited.add(current)) {
+        throw new IllegalArgumentException(
+            "referredSemanticId must not create a circular Reference");
+      }
+      current = current.getReferredSemanticId();
+    }
+  }
 }
diff --git a/model/src/test/java/org/eclipse/digitaltwin/aas4j/v3/model/impl/DefaultReferenceTest.java b/model/src/test/java/org/eclipse/digitaltwin/aas4j/v3/model/impl/DefaultReferenceTest.java
new file mode 100644
index 000000000..b64e244cb
--- /dev/null
+++ b/model/src/test/java/org/eclipse/digitaltwin/aas4j/v3/model/impl/DefaultReferenceTest.java
@@ -0,0 +1,53 @@
+/*
+ * Copyright (c) 2021 Fraunhofer-Gesellschaft zur Foerderung der angewandten Forschung e. V.
+ * Copyright (c) 2023, SAP SE or an SAP affiliate company
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+package org.eclipse.digitaltwin.aas4j.v3.model.impl;
+
+import static org.junit.Assert.assertSame;
+
+import org.junit.Test;
+
+public class DefaultReferenceTest {
+
+  @Test(expected = IllegalArgumentException.class)
+  public void setReferredSemanticId_withSelfReference_throws() {
+    DefaultReference reference = new DefaultReference();
+
+    reference.setReferredSemanticId(reference);
+  }
+
+  @Test(expected = IllegalArgumentException.class)
+  public void setReferredSemanticId_withIndirectCycle_throws() {
+    DefaultReference first = new DefaultReference();
+    DefaultReference second = new DefaultReference();
+    second.setReferredSemanticId(first);
+
+    first.setReferredSemanticId(second);
+  }
+
+  @Test
+  public void setReferredSemanticId_withAcyclicChain_succeeds() {
+    DefaultReference reference = new DefaultReference();
+    DefaultReference semanticReference = new DefaultReference();
+    DefaultReference semanticParent = new DefaultReference();
+
+    semanticReference.setReferredSemanticId(semanticParent);
+    reference.setReferredSemanticId(semanticReference);
+
+    assertSame(semanticReference, reference.getReferredSemanticId());
+    assertSame(semanticParent, semanticReference.getReferredSemanticId());
+  }
+}