PUBLISHED ON: March 20, 2016
Attorney Stephen D Palley represents construction and technology companies in connection with litigation, insurance coverage matters and product design and development.
In this opinion piece, Palley discusses decentralized autonomous organizations and the potential legal liabilities that could be raised by this application of blockchain technology.
The term decentralized autonomous organization (DAO) is often used in the same breath as "smart contract" or "blockchain". DAOs are touted as a new form of legal structure in which ownership, management and control are automated and human involvement is limited or removed, based on a previously agreed upon set of rules.
To a lawyer, this sounds a lot like a corporation, a legal fiction that grants personhood to a human created organization governed based upon a rule set (either contractually agreed upon or imposed by law).
To read the article: How to Sue A Decentralized Autonomous Organization