Can Artificial Intelligence execute a contract?

Gareth Benson • February 12, 2024

Whilst we live in a vastly digital world computers can not enter contracts - yet.


Contracts have been used in ancient civilizations such as Egypt, Greece, and Rome, often written on clay tablets or papyrus used to establish agreements for the sale of goods, services, or property.


In the 16th and 17th centuries, English common law developed the concept of a "consideration" as an essential element of a contract. This means that both parties have to exchange something of value for the contract to be legally binding. This still remains true today. 


It also must have Legal Capacity which means that two human beings must have the legal capacity to enter a contract. Until the law develops to recognise Artificial Intelligence as having distinct legal personality these are 5 key elements of constructing a contract between human beings or businesses with legal capacity. 


1. Offer: One party makes an offer to another party. This offer must be definite and clear in its terms and conditions.


2. Acceptance: The other party accepts the offer, either expressly or by conduct. The acceptance must be unqualified and must correspond to the terms of the offer.


3. Consideration: There must be a benefit or detriment that is exchanged between the parties. This is known as consideration and is usually in the form of money, goods, or services.


4. Legal capacity: Both parties must have the legal capacity to enter into the contract. This means they must be of legal age, mentally competent, and not under duress or coercion.


5. Legal purpose: The contract must be for a legal purpose. Contracts that are illegal or against public policy are not enforceable.


Myself and colleague Conni Warren will be exploring the fundamentals of corporate writing and contracts for success next week in Darwin. 


If you would like to join and learn of 5 further fundamentals of contract success. I have posted a link to the eventbrite below. 


All beings and open artificial intelligence, most welcome!

July 9, 2025
Learn how trademarks become generic (genericide) and how to prevent it. Discover strategies for Aussie businesses to protect brand distinctiveness, maintain legal rights & avoid common misuse pitfalls.
July 8, 2025
Unlock trade dress protection for your Australian business! Learn how packaging, store layout & visual identity boost your brand, protect against copycats & enhance IP value under Aussie law.
July 7, 2025
Discover how trademarks enhance your SEO, protect branded keywords & improve online visibility for Australian businesses. Learn to leverage IP for domain authority, social media & stronger digital marketing ROI.
July 6, 2025
Don't lose your trademark! Learn how to maintain your rights in Australia by avoiding non-use, genericism & misuse. Essential tips for renewing, enforcing & consistently using your brand for long-term IP security.
Beyond Just a Pretty Logo
July 5, 2025
Discover how trademarks increase your business value, enhance brand equity & unlock expansion. Learn why IP protection is vital for Australian startups, SMEs & franchises, boosting valuation & investor appeal.
Your Brand's Secret Weapon
June 12, 2025
Discover how trademarks anchor your brand, build consumer trust &plify marketing campaigns for Australian businesses. Learn their impact on ad recall, social media & brand valuation.
June 11, 2025
™ vs. ®: Unpacking the Power of Trademark Symbols for Your Aussie Brand!
June 9, 2025
We're about to demystify these IP symbols and explain why understanding the distinction is crucial for any Aussie outfit, whether you’re flogging physical goods or offering services.
Turn Your Brand into an Unforgettable Aussie Icon
June 8, 2025
Discover how trademarks boost brand recognition for Aussie businesses. Learn why protecting your logo, name & jingle is vital for consumer recall, market differentiation & long-term success.
What Can and Cannot Be Trademarked? Superpowers in Australia!
June 7, 2025
Understanding what’s trademarkable in Australia is your first and most vital step toward building a strong, legally protected brand. It’s about creating a unique identity that consumers can instantly recognise and trust.
More Posts