Service of Proceedings via NFT on the Blockchain – a Novel Fad or the Future of Civil Procedure? | Locke Lord LLP #Service #Proceedings #NFT #Blockchain #Fad #Future #Civil #Procedure #Locke #Lord #LLP Welcome to JibGlobe, here is the new resources we have for you today:
On 2 June 2022, the Supreme Court of the State of New York granted an order permitting service of court proceedings via the transfer of a token on the Ethereum blockchain in the case of LCX AG, -v- John Does Nos. 1 – 25.
This order is a noteworthy development in the area of service of court documents and a welcome example of a court embracing new technology. In granting the order, the Court permitted service via the so-called realm of “Web 3.0”, by way of ordering that a non-fungible token (“NFT”) be airdropped into a wallet controlled by the anonymous defendant. This approach is a step beyond methods of service from the Web 2.0 era which have been considered novel until recently, such as service of proceedings via social media or online messaging.
This article explores the factual and legal aspects of the LCX decision and considers in particular:
whether service by way of an airdropped token on the blockchain will always be viable or effective in practice;
whether the English Courts could take similar steps to authorise or recognise service on the blockchain; and
to what extent blockchain technology could be deployed in civil litigation more generally going forward.