From Automation to Autonomy: Some Non-existent Problems in Contract Law

Abstract

The progressive automation of the contracting process has led to a revival of theories that question the validity of contracts formed with the assistance of computers. Purportedly, once statements are not only transmitted but also generated by computers, the latter ‘deserve’ legal personhood and the transaction resulting from such statements must be attributed to them. Instead of diverting the reader’s attention with incomprehensible technical terms and acronyms, this paper focuses on the core principles of contract law and demonstrates not only their continuing validity but also their nearly infinite resistance to technological change. The analytical point of departure is the assumption that no degree of technological sophistication warrants the ‘emancipation’ of the computer and that all theories built around the ill-defined and decontextualized concept of ‘autonomy’ must be discarded. Somewhat stubbornly – and with no attempts at legal sensationalism that frequently accompanies technological progress - this paper contends that the deployment of highly advanced computers in the transacting process does not raise any doctrinal problems in contract law. At least when it comes to the process of contract formation.

Keywords: contract law, e-commerce, algorithmic trading, artificial intelligence

JEL Classification: K12, K22, K11, K20, 033