Ishan Sharma, Jay Madan
220060201025, 220060201041
LLB(Hons)
Proposed Research: Blockchain and AI in Company Law: Mergers
and Acquisitions
Research Questions
1. Is any AI tool used in the area of company law mergers and acquisitions
frequently (name 5 tools)?
2. What are the unique features of such an application in the context of mergers
and acquisitions?
3. What is the future scope for AI in this area?
4. Are there any recent developments in AI for company law mergers and
acquisitions that are now followed in India?
5. What is the legal standing of AI in the area of company law mergers and
acquisitions in India?
Potential AI Tools and Their Applications
1. Kira Systems
* Application: Contract analysis and due diligence.
* How it helps: Kira can extract key clauses, terms, and risks from merger agreements,
streamlining the due diligence process and reducing the risk of human error.
2. LexMachina
* Application: Legal analytics and market intelligence.
* How it helps: LexMachina can analyze historical data on mergers and acquisitions
to identify trends, predict outcomes, and assess the competitive landscape.
3. Luminance
* Application: Contract review and analysis.
* How it helps: Luminance can quickly review and analyze large volumes of legal
documents, identifying potential issues and risks.
4. IBM Watson
* Application: Predictive analytics and natural language processing.
* How it helps: IBM Watson can analyze data to predict the likelihood of a merger or
acquisition being successful and can understand and interpret legal language.
5. Hyperledger Fabric
* Application: Blockchain-based platform for mergers and acquisitions.
* How it helps: Hyperledger Fabric can create a secure and transparent record of
mergers and acquisitions, including ownership transfers, regulatory filings, and
contract terms.
Unique Features of AI Applications in Mergers and Acquisitions
* Efficiency and Speed: AI can automate many tasks, reducing the time and cost
associated with mergers and acquisitions.
* Accuracy and Precision: AI can analyze large amounts of data with greater accuracy
than humans, reducing the risk of errors.
* Predictive Analytics: AI can help identify potential risks and opportunities, allowing
companies to make more informed decisions.
* Transparency and Trust: Blockchain technology can create a secure and transparent
record of mergers and acquisitions, improving trust among stakeholders.
Future Scope for AI in Mergers and Acquisitions
* Increased Automation: AI is likely to become even more integrated into the merger
and acquisition process, automating more tasks and reducing costs.
* Enhanced Predictive Analytics: AI tools will continue to improve their ability to
predict the outcomes of mergers and acquisitions.
* Blockchain Adoption: Blockchain technology is expected to become more widely
used in mergers and acquisitions, providing greater transparency and security.
* Integration with Other Technologies: AI will be combined with other technologies,
such as the Internet of Things (IoT) and big data, to create even more powerful tools.
Recent Developments in India
* Government Initiatives: The Indian government has been promoting the use of
technology in the legal sector, including AI and blockchain.
* Startup Activity: There has been a surge in the number of startups developing AI
and blockchain solutions for the legal sector in India.
* Academic Research: Indian universities and research institutions are conducting
research on the use of AI and blockchain in company law.
Legal Standing of AI in Mergers and Acquisitions in India
* Regulatory Framework: India does not have specific laws or regulations governing
the use of AI in mergers and acquisitions.
* Existing Laws: However, existing laws, such as the Information Technology Act and
the Contract Act, may be applicable to AI-related activities.
* Ethical Considerations: There are ethical concerns associated with the use of AI,
such as bias and privacy. Indian courts may need to consider these issues when
interpreting existing laws.
