Choice of Court Agreements in Disputes Involving DAOs

Abstract

Abstract This chapter explores the application of the validity requirements of a choice of court agreement under the Hague Choice of Court Convention, Lugano Convention, and Brussels I Regulation in disputes involving decentralized autonomous organizations (DAOs), analyzing the legal implications of a choice of court agreement for the DAO, its members, and third parties. When DAOs are involved in a state court dispute, their blockchain-based nature raises numerous legal questions, including issues related to their legal status and their capacity to enter into binding agreements, such as a choice of court agreement. This reiterates the influence of the international context in which DAOs operate on state court dispute resolution, and emphasizes the challenges of locating DAOs in the physical world, highlighting the limitations of state justice for disputes involving DAOs. This analysis underscores how a choice of court agreement introduces a degree of predictability regarding the forum for civil and commercial claims.