Validation Framework for E-Contract and Smart Contract
Sangharatna Godboley, P. Radha Krishna, Sunkara Sri Harika, Pooja Varnam
TL;DR
The paper addresses the challenge of aligning e-contracts written in natural language with smart contracts written in Solidity, where linguistic–code gaps can lead to misinterpretations and disputes. It proposes a knowledge-graph–based validation framework that constructs $\mathcal{G}_e=(V_e,E_e)$ from e-contracts and $\mathcal{G}_s=(V_s,E_s)$ from smart contracts, then performs structured KG comparisons to detect discrepancies. Key contributions include an end-to-end KG-based pipeline with algorithms for KG construction from both NL and code and a working rental-contract example that demonstrates effective discrepancy detection. This approach enhances trust and reliability in automated contract execution by providing auditable, semantically grounded alignment between legal text and executable code.
Abstract
We propose and develop a framework for validating smart contracts derived from e-contracts. The goal is to ensure the generated smart contracts fulfil all the conditions outlined in their corresponding e-contracts. By confirming alignment between the smart contracts and their original agreements, this approach enhances trust and reliability in automated contract execution. The proposed framework will systematically compare and validate the terms and clauses of the e-contracts with the logic of the smart contracts. This validation confirms that the agreement is accurately translated into executable code. Automated verification identifies issues between the e-contracts and their smart contract counterparts. This proposed work will solve the problems of gap between legal language and code execution, this framework ensures seamless integration of smart contracts into the existing legal framework.