The Legal Nature of Contracts Concluded by Artificial Intelligence under Iranian and English Law

Authors

    Zeynab Tajik Ghaleh Department of Private Law, CT.C., Islamic Azad University, Tehran, Iran
    Mohammad Bahmani * Department of Private Law, CT.C., Islamic Azad University, Tehran, Iran Bahmani.m.dr.49@gmail.com
    Mohammad Ali Moayer Mohammadi Department of Jurisprudence and Law , SR.C., Islamic Azad University, Tehran, Iran

Keywords:

Artificial Intelligence, Contract, Electronic Agent, Blockchain, Iranian Law, English Law

Abstract

This article examines the legal nature of contracts concluded by artificial intelligence (AI) within the frameworks of Iranian and English law. To achieve this, it conducts a comparative legal analysis aimed at clarifying the juridical basis of such contracts. The study adopts a qualitative approach, utilizing data collected through library-based (documentary) research and applying an analytical–descriptive methodology. The findings reveal that in both the Iranian and English legal systems, when artificial intelligence functions as an electronic agent, the intelligent and autonomous characteristics of such contracts become evident. This autonomy allows contractual obligations to be executed automatically and without human intervention, thereby ensuring inflexible self-performance. As a result, the parties benefit from enhanced contractual certainty through the guaranteed execution of obligations—particularly within blockchain-based platforms. These contracts reduce dependency on financial market infrastructures, mitigate default risk, and strengthen the financial services sector due to the inherent flexibility and adaptability of AI-driven agreements. However, the comparative examination indicates notable divergences between the two systems. In English law, the moment of contract conclusion is governed by the dispatch theory of acceptance, whereas Iranian law also recognizes the reception theory of acceptance. Additionally, a difference arises concerning the determination of the time of contract formation: under English law, formation occurs at the moment the data message is dispatched, while under Iranian law, it is deemed to occur upon the signing of the document embodying acceptance.

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Published

2026-04-01

Submitted

2025-05-26

Revised

2025-09-14

Accepted

2025-09-20

Issue

Section

Articles

How to Cite

Tajik Ghaleh, Z. ., Bahmani, M., & Moayer Mohammadi, M. A. . (2026). The Legal Nature of Contracts Concluded by Artificial Intelligence under Iranian and English Law. Legal Studies in Digital Age, 1-12. https://jlsda.com/index.php/lsda/article/view/272

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