How does Blockchain troubleshoot in Lawsuits ?

The Influence of Blockchain on Legal Issues




How does Blockchain troubleshoot in Lawsuits?



lawful, legal, legitimate, licit mean being in accordance with the law.

lawful may apply to conformity with the law of any sort (such as natural, divine, common, or canon).

the lawful sovereign legal applies to what is sanctioned by law or in conformity with the law, especially as it is written or administered by the courts.

The technical characteristics of blockchains can be summarized as follows: a blockchain is a distributed network of servers (“nodes”), where information is mirrored on all participating computers.

There is no single entity that has control over the entire system (often referred to as middleman) so that changes to the blockchain can only be implemented by the participants controlling together the majority of the computing power.

Blockchains are ledgers that record transactions with information about the sender and recipient of a digital coin or token, the amount or number, and the exact date and time of the transaction.

Numerous network computers verify each transaction through laborious calculations. To increase security, blockchains make extensive use of cryptography.

Ultimately, what may be essential to the success of blockchain technology, and especially to digital currencies, is that it has solved the so-called problem of double spending: it prevents multiple uses of a digital coin simply by replicating digital copies.

Blockchains appear to be much more secure and resilient against hacking attempts or manipulations than centralized servers under the control of a few. And security is what lawyers like, too.


How does Blockchain troubleshoot in Lawsuits?

Understanding law

Law is commonly understood as a system of rules that are created and enforced through social or governmental institutions to regulate conduct, although its precise definition is a matter of longstanding debate.

It has been variously described as a science and the art of justice.

State-enforced laws can be made by a collective legislature or by a single legislator, resulting in statutes, by the executive through decrees and regulations, or established by judges through precedent, normally in common law jurisdictions.

Private individuals can create legally binding contracts, including arbitration agreements that may elect to accept alternative arbitration to the normal court process.

The formation of laws themselves may be influenced by a constitution, written or tacit, and the rights encoded therein.

The law shapes politics, economics, history and society in various ways and serves as a mediator of relations between people.


Legal systems

In general, legal systems can be split between civil law and common law systems.

The third type of legal system—accepted by some countries without separation of church and state—is religious law, based on scriptures.

The specific system that a country is ruled by is often determined by its history, connections with other countries, or its adherence to international standards.

The sources that jurisdictions adopt as authoritatively binding are the defining features of any legal system.

Yet classification is a matter of form rather than substance since similar rules often prevail.



Blockchain in legal  Industry

How does Blockchain troubleshoot in Lawsuits?

How is blockchain about Accessibility, Transparency, Cost savings, Automation and Data Integrity?


Lawyers can leverage blockchain technology to streamline and simplify their transactional work, digitally sign and immutably store legal agreements.

Using scripted text, smart contracts, and automated contract management reduces excessive time spent preparing, personalizing and maintaining standard law documents.

These cost savings are passed on to the customer.

Additionally, blockchain democratizes access to the justice system by cutting down on consumer complexity and lowering hefty legal fees.



Distributed ledger technology creates a shared ledger accessible by all parties to an agreement.

Blockchain-based contracts have baked-in compliance, no surprises, and no room for misinterpretation.

Additionally, non-technologists can better understand the transactions they enter into and what the smart contract represents.


Cost savings

Many of the manual tasks can be carried out automatically, which significantly decreases the hours allocated to drafting and amending legal documents.

This cost is generally passed down to clients, which pushes hourly lawyer fees to astronomical rates.

The introduction of smart contracts will accelerate and lower the cost of transactions between parties.

A cost-efficient algorithm can automatically and transparently manage escrow accounts at a fraction of the cost of manual labour.

Lower costs will increase the overall demand and accessibility for legal services.



Lawyers spend up to 48% of their time on administrative tasks, including transferring information between software and updating client trust ledgers.

(Clio’s Legal Trends Report 2018.) Utilizing a legal agreement repository and pre-fabricated smart contracts, lawyers can automate non-billable administrative tasks and transactional work.

Cutting down on excessive manual labour will also accelerate legal proceedings, which decreases costs to customers.


Data Integrity

Blockchain technology can streamline, re-engineer, automate, disintermediate, and secure many processes in the legal industry without losing any of the judicial authority.

Optimizing various industry features will make the legal and financial sectors more efficient and productive while lowering friction and costs.


integrity and transparency

Legal documents act as a honeypot for ill-intentioned hackers who seek to profit from the valuable confidential information created and maintained by lawyers.

Instead of emailing sensitive data back and forth, lawyers can choose to store legal information on a decentralized, distributed ledger for append-only feeds, which increases data integrity.

If evidence is tampered with or changed, the associated hash value will not match, making it clear that a change has occurred.

How does Blockchain troubleshoot in Lawsuits?

There are several possible blockchain applications across the legal industry

  • Electronic Signatures
  • Intellectual Property
  • Property Rights
  • Chain of Custody
  • Tokenization
  • impact tokenization


Electronic Signatures

Electronic signatures bring speed, efficiency, and cost savings to the authentication process. Signing on blockchain costs the signer a fraction of the cost compared to e-signature platforms like DocuSign.

Electronic signatures stored on the Ethereum blockchain live independently of the object being signed, which allows for parallel signing and independent verification without granting full read access to the content.

When two parties digitally sign a smart contract, they simultaneously agree to the terms and conditions associated with the agreement.

Intellectual Property

A critical blockchain-based innovation impacting intellectual property is non-fungible-tokens or NFTs. NFTs are cryptographic tokens that can be used to represent the unique property on a blockchain.

With blockchain, creators of a product or piece of content can upload, register, and time-stamp their original work on a public ledger to create an undeniable proof of ownership.

From there, a blockchain-based IP enforcement system could help creators monitor exactly how and by whom their creations are being used.


Property Rights

A critical blockchain-based innovation impacting intellectual property is non-fungible-tokens or NFTs. NFTs are cryptographic tokens that can be used to represent the unique property on a blockchain.

NFT standards allow for robust property rights schemes in the digital realm. With blockchain, creators of a product or piece of content can upload, register, and time-stamp their original work on a public ledger to create an undeniable proof of ownership.

From there, a blockchain-based IP enforcement system could help creators monitor exactly how and by whom their creations are being used.


Chain of Custody

The distribution of property rights and the existence of transaction costs impact a society’s economic activities, yet property rights and transaction cost structures are primarily based on the pre-digital era.

Utilizing blockchain architecture, property owners can subvert costly central intermediaries, and elect to register and sell their properties on the blockchain in a transparent and immutable way.

Blockchain-based public ledgers offer a new form of property rights management, which allows for a measurable reduction in transaction costs.



Chain of custody is the process of handling evidence from the time it is collected until the time it is presented as evidence in a court of law.

Evidence exchanges hands numerous times; interested parties log evidence in and out of storage, physically sign forms that create a paper trail to record its movements.

Unfortunately, this process creates several opportunities for nefarious actors to taint the evidence. It also opens the door for defence attorneys to claim the evidence has been tampered with.

Utilizing blockchain technology, one could generate and track a unique evidence token for every item of data collected and received – stored and auditable in a public/private blockchain.


impact tokenization

Tokenization is a method that converts rights to an asset into a digital token.

Interested parties can issue tokens on a platform that supports smart contracts which will enable the purchase and vending of this token on exchanges.

Coupled with IP rights and microtransactions, this opens up a world where creators can tokenize and legally sell fractions of their assets.


How does Blockchain troubleshoot in Lawsuits?

In other

Blockchain technology gives us the framework to create a shared ledger system where various parties can report their compliance data/documentation to the appropriate authorities in an automatic manner.

Additionally, a blockchain-based framework can automate various functions of the law, such as tax compliance.



At first, what comes to mind are all sorts of registers that document the status, identity, or rights of a person or legal entity, namely commercial registers, land registries, civil registries, share registers, and patent or trademark registers.

Secondly, if blockchains are secure and allow the registration of information, they could also be used for securing evidence that can be presented in court proceedings.

Examples are screenshots of websites, photos or any other digital or digitized content, and of course contracts.

It has to be noted that usually, not the file itself is stored on the blockchain, but only a cryptographic hash value.

The ability to reproduce the same hash as the one stored on the blockchain proves that the original file has not been altered and, thus, is authentic.



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