The ELI Council Adopts a Project on the Guiding Principles and Model Rules on Algorithmic Contracts


At its meeting of 25 February 2022, the ELI Council approved the start of a project aimed at setting out Guiding Principles and Model Rules on Algorithmic Contracts.

The above project emerged from the discussions of the High Level Expert Group on Automated Contracting and Enforcement in Consumer Cases that ELI assembled in November 2021 and takes forward the ideas and suggestions developed by the Group. Its focus is on the use of Algorithmic Decision-Making (ADM), particularly, AI-driven learning systems, in the various stages of the contract lifecycle. This approach comprises automated contracting generally, and autonomous contracting specifically.

The aim of the team, led by ELI Executive Committee member, Teresa Rodríguez de las Heras Ballell, ELI Council members, Christoph Busch and Christian Twigg-Flesner, as well as Marie Jull Sørensen and Dariusz Szostek, is to assess first the adequacy of the existing EU consumer law to the use of ADM in contracts and, subsequently, to identify gaps to fill and the necessary legal steps required to facilitate autonomous contracting in B2B, B2C, P2P and M2M transactions. To that end both Guiding Principles and Model Rules implementing those principles will be drafted.

The final output of the Guiding Principles and Model Rules Project will serve the European Commission and national authorities wishing to reformexisting legislation or adopt specific new provisions to enable the use of ADM in contracts in Europe.