Legally Blocked: The Evolution and Legality of Smart Contracts

Abstract

India is undergoing a revolutionary period concerning, both its constitution and its legislative jurisprudence. At a time of this ascending transcendence, it would only be naïve, to not take note of the technological innovation and digital transformation that has immersed itself into the legal arena. An area of interest which would significantly prove its vitality regarding the same would be the much acclaimed Contract Law. At present, The Indian Contract Act along with the Information Technology Act, and Indian Evidence Act, unless otherwise is provided so, regulates and puts forth the beacon for a legally enforceable electronic contract in India. This Paper traces the need for a legal evolution in the understanding of Contract law to keep in pace with the technological transition, and also the legal complications associated with the blockchain-based Smart Contracts, and further explain the operation of smart contracts in the existing judicial prudence, and finally concludes with the need for an unprecedented effort to regulate this kinetic realm.

Keywords: Smart contract, Blockchain, India, Indian Contract Act, IT Act, Indian Evidence Act