Critical Analysis of the Scope of AI Agents in Agency Contract and Its Ethical-Legal Implications in the Indian Legal Framework

Abstract

This paper will make the readers dive into the question of how Artificial Intelligence can be inculcated into the contractual relationships, especially agency. The scope and extent of the same is aimed to be discussed in detail along with the legal and ethical implications of AI involvement in Indian contractual law and framework. This piece of research will specifically deal with AI acting as agents in agency contracts and how a breach can be regulated by analysing the liability in such cases. Along with cr itically analysing whether AI qualifies to be a valid agent by fulfilling the test of agency and requirements stated under the Indian contract act or not and if so, then how can its actions be regulated by the Indian contract law jurisprudence. AI's eligibility for a legal personality will be analysed in this paper.

Keywords: Artificial Intelligence, Contract law, Agency, AI agents, Liability, Indemnification, Indemnity