In an article published by Clifford Chance in December 2017, the question has been raised – whether smart contracts, are contracts at all?
So, what is a contract? A contract has been described as a written or verbal agreement that is intended to be enforceable by law.
What would a smart contract be? According to Clifford Chance, “Smart contract technology – the implementation of electronic contracts, embodied in code and performed automatically by computers – is maturing fast.”
Furthermore, it is predicted that the development of smart contract technologies may herald the beginning of a general transformation of contracts from paper documents to self- executing code-agreements.
This is an all-important question to answer, specifically because if smart contracts are not contracts, then it should logically follow that they may not be legally enforceable.