Introducing Blockchain Technology The Legal Way
Commercial litigation in India is largely based on the reconciliation of diversity in the ledger entries of two parties. Ledgers are separately maintained by parties appearing in a greater chance of several entries. Blockchain technology is fast developing as a tamper-proof universal ledger.
The benefit of blockchain emerged with the success of crypto-currencies. It can moreover change e-payment, education credentials, legal contracting, electronic medical records, and more and become a way to store data electronically in the future. This will abolish the requirement for many adjudicating/third-party bodies like stock/commodity exchanges, registrars, central banks, and impact transactions.
Safeguards in place
Blockchain technology serves as a decentralized public ledger, which is a storehouse of financial transactions. To minimize risks of data breach and tamper, each transaction is verified with unique user id details. This technology has maximum safeguards in place for higher verification, making it a go-to tool for most industries.
Smart contracts: Lawfirms draft contracts that have a rehearsed function and similar template on a regular basis. With the effective use of blockchain technology, one can automate the set of terms and conditions of contracts such as lease agreements, standard memorandum of understandings, rental agreements, etc. It will assist in simplifying the process of joining into contracts with more than one party and also decrease pending cases related to verifying documents in courts. Once documents are saved on an online ledger, there is little chance of them being tampered with.
A public ledger of information: Various governments are looking to adopt this technology to collect information about their citizens and the census. By offering a decentralized platform to securely store data regarding birth, death, and criminal record, governments can adequately curb fraudulent activities. Even our judiciary can profit by utilizing this platform to save court judgments, making our legal system more simple and accessible to litigants.
Changing the nature of ownership of assets and managing titles: Every year, the government spends considerable resources managing and registering land titles. By providing a safe platform to store land titles and facilitating the transfer of property by digital means, citizens can efficiently transfer and acquire their land rights at lower costs.
Intellectual Property Rights: Blockchain technology produces a consolidated platform where trademark and copyright filings can be stored. With entries that cannot be tampered with and accurate timestamps, the number of arguments concerning intellectual property rights may decline.
Universal repository: Blockchain is a decentralized platform that cuts over borders and is a comprehensive repository of information across all jurisdictions. This unique characteristic can easily provide for international contracting seamlessly between parties.
Application in law schools
For new-age lawyers to efficiently use these revolutionary technologies, they must have the foundational knowledge of technology and its applications. Higher Educational Institutions must concentrate on combining technology in their curriculum to make their students industry-ready.
Law schools should involve interdisciplinary learning between law and technology to deliver applied knowledge of both disciplines. Students must be educated about smart contracting supported by blockchain technology and the tools to use it efficiently.