Forming an immutable and transparent ledger to store data makes blockchain ideal for any business that holds sensitive data. It has started showing its phenomena, whether using blockchain secure QR codes for securing legal documents, medical reports, or educational certificates or storing the data safely. It appears certain that blockchain will be an enormous power for change across numerous industries, including the legal sector.
Use of Smart Contracts
Legal contracts today are no different from the past, and they are primarily written in hard copy with physical signatures from all parties to develop a legally binding agreement. With loads of accompanying administrative work, including massive quantities of paper, all this makes the entire process of creating a contract an extensively time-consuming and expensive process.
Blockchain can potentially digitize and entirely disrupt this procedure with smart contracts. In the blockchain, the codes write the contracts, with duties being activated and performed completely automated. one can make and auto-execute the contracts directly between the relevant parties, with negligible intervention from legal third parties.
Forming property rights can be a problem, and disputes are commonplace. Most records are in hard copy format, with significant amounts of ledgers, deeds, and even similar paperwork, mostly going back decades.
Even when the data storage is in a digital format, mostly, it mainly includes scans of the original hard copies filed in the database the organization deems most logical for their requirements. In practice, it denotes poor transparency, data misfiling or destruction, conflicting records, and masses of time spent searching for what you need.
Blockchain offers a safe, chronological, and immutable data storage method. With blockchain secure documents and property rights reports, it will become easier for you to discern the history of a specific piece of property. All concerned bodies can work from the same information, diminishing confusion and making disputes relatively less challenging to resolve.
Chain of Custody
Once the chain of custody is not water-tight, then criminal cases can go for a toss. Unfortunately, it is not that rare for cases to get compromised because of loss or accidental evidence damage. As law firms will prove, maintaining a chain of custody on any physical evidence is tricky. However, struggling with digital evidence discovered on hard drives or mobile devices is even more challenging.
Here, blockchain technology offers a perfect solution to such problems. Not only can there be the use of a virtual ledger to track the custody of documents, but it may also play a role in saving the documents themselves in quite a stable and secure environment. The recording of everything is done chronologically and time stamped manner, and the structure of data is append-only. Hence, it is impossible to change or delete any records. There will be no loss of data, and there is no longer the requirement for testimony regarding the protection of the chain.
The Bottom Line
The introduction of blockchain tech in legal services presents distinct opportunities for law firms, the overall judicial system, and the average citizen availing of legal advice and assistance. Blockchain already shows charisma in legal, medical, or educational certificate verification. Being in legal sector, embrace blockchain. And If you are unsure where to start, talk to ProofEasy for quick assistance.