{"id":930,"date":"2022-08-29T13:01:59","date_gmt":"2022-08-29T13:01:59","guid":{"rendered":"https:\/\/digitalbabel.legal\/?p=930"},"modified":"2022-08-29T13:02:05","modified_gmt":"2022-08-29T13:02:05","slug":"the-future-of-contracts","status":"publish","type":"post","link":"https:\/\/digitalbabel.legal\/legaltech\/the-future-of-contracts\/","title":{"rendered":"The future of contracts"},"content":{"rendered":"\n
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Description:<\/b> A big event in the Central African agriculture – the signing of an agreement to start a farming journal for the African Farmer’s Union of Southern Rhodesia.\n<\/figcaption><\/figure>\n\n\n\n

Contracts are the lifeblood of the economy. It is no coincidence that the Nobel Prize in Economic Sciences was awarded in 2016 to Oliver Hart (Harvard University) and Bengt Holmstr\u04e7m (Massachusetts Institute of Technology – MIT) “for their contributions to contract theory”.<\/a><\/p>\n\n\n\n

Economic contract theories should also be of interest to lawyers. The theory of incomplete contracts<\/a> provides important insights into how the interests of contracting parties can be protected in contracts.<\/p>\n\n\n\n

Lawyers may also be interested in the theory of transaction costs<\/a>, i.e. the costs of coordinating a firm’s activities resulting from interaction with other entities based on contracts, especially that transaction costs include the involvement of lawyers in the preparation and negotiation of a contracts.<\/p>\n\n\n\n

For many years, the practice of preparing and executing contracts did not change substantially. Contracts were prepared and entered into in writing in several copies, which were usually not looked at by anyone until some doubt arose about the performance of the contract.<\/p>\n\n\n\n

The arrival of technology has changed contracts. The largest category of Legaltech solutions is contract solutions. There are hundreds of such solutions around the world and more are being developed. We can easily find both very complex solutions and such that address very specific aspects of contracts.<\/p>\n\n\n\n

The technological contract solutions can be divided into several categories.<\/p>\n\n\n\n

Solutions for automating contract preparation<\/strong><\/h2>\n\n\n\n

The aim of these solutions is to prepare contracts faster and in a more consistent manner. They usually come in two forms:<\/p>\n\n\n\n