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Chamber of Digital Commerce Releases “Smart Contracts: Is the Law Ready?” White Paper 

Smart Contract Alliance Clears Up Misconceptions About Enforceability of “Smart Legal Contracts”

Washington, D.C., September 27, 2018 – The Chamber of Digital Commerce, the world’s leading blockchain trade association, today released Smart Contracts: Is the Law Ready? Developed by the Smart Contracts Alliance, an initiative of the Chamber of Digital Commerce, the paper shares insights from legal experts on how current laws in the United States and abroad are applicable to the technology. The white paper breaks important ground analyzing the applicability and enforceability of laws governing smart contracts.

Smart contracts are not necessarily legal contracts. They are pre-determined computer code executed using blockchain technology through an established set of parameters. Among the many benefits of smart contracts are the potential for greater operational efficiencies through automation, decreased need for manual processes, and enhanced cost savings, to name a few. For business to realize these benefits, the enforceability of smart contracts is critical. This white paper establishes a foundational legal basis for the enforceability of smart contracts and is an essential step toward increasing the adoption of this transformative technology.

“There is still misunderstanding surrounding the use of smart contracts technology, particularly when it comes applicability of existing law,” said Perianne Boring, Founder and President, Chamber of Digital Commerce. “This in-depth examination is the culmination of more than a year of research from the Smart Contracts Alliance, and aims to further empower innovators and businesses with the legal knowledge to realize this technology’s enormous potential.”

The paper is comprised of the following sections:

  • Smart Contracts Lexicon – a glossary that sets a common ground for practitioners in an industry where formal definitions are lacking.
  • Legal Challenges Associated with the Formation, Modification, and Enforcement of Smart Legal Contracts – an application of traditional concepts of contract law to smart contracts..
  • Smart Contracts, Blockchain, and Commercial Law – an analysis of the applicability of U.S. laws using blockchain and smart contract technology in securing electronic signatures and records.
  • The U.C.C. and State Law Issues in Smart Contracts – an in-depth look at Article 9 of the Uniform Commercial Code and the perfection of security interests on a blockchain.

The Smart Contracts Alliance is an initiative of the Chamber of Digital Commerce, and is comprised of more than 360 experts in the blockchain and legal space. “Smart Contracts: Is the Law Ready?” is now available at digitalchamber.org.

About the Chamber of Digital Commerce

The Chamber of Digital Commerce is the world’s largest trade association representing the digital asset and blockchain industry. Headquartered in Washington, D.C., the Chamber is the founder of the Token Alliance, Blockchain Intellectual Property Council, Smart Contracts Alliance, Blockchain Alliance, Global Blockchain Forum and many other key industry initiatives.  For more information, please visit: DigitalChamber.org, and follow us @DigitalChamber.

Media Contacts:

Jennifer Darland
+1-443-617-4371
chamber@edelman.com

Marie Knowles
+1-202-656-8037
marie@digitalchamber.org