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Detecting Disruption: Implications for the Law’s Classifications

Year of Publication: 2024
Month of Publication: 10
Author(s): Lan Luh Luh and Kelvin FK Low
Research Area(s): Corporate Law
Name of Working Paper Series:

NUS Law Working Paper 2024/009
NUS EW Barker Centre for Law & Business Working Paper 24/03

WPS Paper Number: LAW-WPS-2409
Abstract:

This chapter explores the legal challenges posed by technological innovations. We argue that legal classifications are critical as they determine the legal principles applicable to issues arising from the use of such innovations and consequential ramifications. However, certain innovations, such as computer programs and cryptoassets, disrupt these classifications, making it difficult for existing laws to apply effectively. The chapter delves into how computer programs were classified as goods due to their physical distribution, masking their disruptive nature. Similarly, cryptoassets are debated for their classification within traditional legal frameworks of personal property and securities law. Our chapter emphasizes the difficulty of not only addressing these disruptions but also detecting them, as some innovations are either overhyped or understated. We call for a more nuanced approach to legal classification, particularly when facing disruptive technologies.

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