Arizona Laws 44-7061. Signatures and records secured through blockchain technology; smart contracts; ownership of information; definitions
A. A signature that is secured through blockchain technology is considered to be in an electronic form and to be an electronic signature.
Terms Used In Arizona Laws 44-7061
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Contract: A legal written agreement that becomes binding when signed.
- Contract: means the total legal obligation resulting from the parties' agreement as affected by this chapter and any other applicable law. See Arizona Laws 44-7002
- Electronic: means relating to technology that has electrical, digital, magnetic, wireless, optical or electromagnetic capabilities or similar capabilities. See Arizona Laws 44-7002
- Electronic record: means a record that is created, generated, sent, communicated, received or stored by electronic means. See Arizona Laws 44-7002
- Electronic signature: means an electronic sound, symbol or process that is attached to or logically associated with a record and that is executed or adopted by an individual with the intent to sign the record. See Arizona Laws 44-7002
- Information: means data, text, images, sounds, codes, computer programs, software or databases or similar items. See Arizona Laws 44-7002
- Person: means an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, governmental agency or public corporation or any other legal or commercial entity. See Arizona Laws 44-7002
- Record: means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and that is retrievable in perceivable form. See Arizona Laws 44-7002
- State: means a state of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands or any territory or insular possession subject to the jurisdiction of the United States. See Arizona Laws 44-7002
- Transaction: means an action or set of actions occurring between two or more persons relating to the conduct of business, commercial or governmental affairs. See Arizona Laws 44-7002
B. A record or contract that is secured through blockchain technology is considered to be in an electronic form and to be an electronic record.
C. Smart contracts may exist in commerce. A contract relating to a transaction may not be denied legal effect, validity or enforceability solely because that contract contains a smart contract term.
D. Notwithstanding any other law, a person that, in or affecting interstate or foreign commerce, uses blockchain technology to secure information that the person owns or has the right to use retains the same rights of ownership or use with respect to that information as before the person secured the information using blockchain technology. This subsection does not apply to the use of blockchain technology to secure information in connection with a transaction to the extent that the terms of the transaction expressly provide for the transfer of rights of ownership or use with respect to that information.
E. For the purposes of this section:
1. "Blockchain technology" means distributed ledger technology that uses a distributed, decentralized, shared and replicated ledger, which may be public or private, permissioned or permissionless, or driven by tokenized crypto economics or tokenless. The data on the ledger is protected with cryptography, is immutable and auditable and provides an uncensored truth.
2. "Smart contract" means an event-driven program, with state, that runs on a distributed, decentralized, shared and replicated ledger and that can take custody over and instruct transfer of assets on that ledger.