The Law of Smart Contracts

Society is now adopting and embracing the concept of Industry 4.0. This is the era of digital innovation with enhanced connectivity and interaction between machines and humans. Industry 4.0 is characterised by smart technology such as Industrial Internet of Things (IIoT) and Distributed Ledger Technology (DLT), and smart appliances which promise to bring society closer to a fully digitalised world. Ethereum smart contracts and its platforms are based on DLT which automates the execution of contracts. This automated execution of contracts is the way forward for the performance of commerce and business.

The main objective of this book is to prepare and equip lawyers and legal personnel of tomorrow with a new set of value-added skill and knowledge not only on how to protect their clients from being exposed to the risk under the current traditional contract law but also on how to construct efficient contractual terms in the digital environment. This book highlights and examines the various aspects related to the interplay of smart contracts with traditional contracts and its guiding legal principles.

Recognising the new subject that it is covering, the book contains chapters which introduce the concept and technology behind the functioning of smart contracts. A useful Glossary of Terms is also available for easy reference. The legal issues surrounding smart contracts and the regulatory framework covering smart contracts are usefully surveyed and discussed. The position in various jurisdictions is considered to widen the breadth of coverage as smart contracts is a fast-evolving area and comparative knowledge will prove instructive.

The book further surveys issues on the efficacious use of smart contracts, consumer protection, enforcement and jurisdiction, and rounds off with a discussion on alternative dispute resolution of smart contract disputes. This pioneering book provides crucial new understanding for lawyers, in-house counsel, business owners, bankers, software consultants, researchers, policy makers and academics.