Role of Smart Contract in Arbitration: A Critical Analysis

Abstract

Smart contracts are programming programs that, without any involvement of a reliable authority, can be reliably carried out by an internet of mutually distrusting nodes. Smart contracts, which are integrated into blockchains, allow an agreement's terms to be automatically enforced without the need for a third party to be contacted. The advancement of technology has been continuing for a while. Technology's advancement has made it possible for it to enter the legal sector and, with it, the complementary conflict resolution sector. Given this, the writing aims to accomplish three goals. It starts by discussing the arbitral framework, which does not categorically prohibit the use of new technology during arbitral procedures. Second, it looks at how arbitration and new technologies—like blockchain technology, intelligent contracts, large-scale data, intelligent machines, and cryptocurrency—work together. It suggests that whereas advances in technology improve and expedite the resolution of disputes, the arbitration process offers protection to the tech sector and these developing technologies. The key characteristics of blockchain technology that make it one of the most revolutionary technologies today are its decentralization, self-control, peer-to-peer relationships, fixed records, and time stamps. This article, therefore, focuses on the use of block chain technology and its crucial role in the digitalization of land records within the context of India. However, the lack of widespread adoption of smart contracts is primarily due to users' lack of clarity about whether they could enforced as relationships under state contract laws nowadays in operation.