THE LEGAL IMPLICATIONS OF ARTIFICIAL INTELLIGENCE ON COMMERCIAL LAW

Abstract

Present, in hand, research is in some manner diligently to analyze the way the commercial law is, as it is noticed, influenced by artificial intelligence (AI), which appears to underscore the effectiveness of deployed legislation relating to rapid technological growth. The paper at hand appears to underscore that AI has in fact caused a change of the very essence of commercial operations, as many of them are now generated automatically with the use of intelligent mechanisms. This development somehow creates absolutely new law issues related to identification of the commercial character of such operations, accountability of decisions made autonomously and non-manually, and conflict resolution mechanisms caused by them.. The paper is seemingly falls into two main sections. The first copes with AI-based activities contribution in acquiring commercial status highlighting that traditional legislation, like the Iraqi Commercial Code, seemingly lacks explicit provisions regulating these activities. This undoubtedly requires a reconsideration of the definitions of “merchant” and “commercial activity.” The second section probes into the differences among traditional commercial activities and those based on AI, including the nature of decision-making, the determination of legal liability, and bankruptcy procedures, while also noting their similarities, such as the pursuit of profit and compliance with commercial law. The current research finally concludes that commercial legislation ought to be upgraded for keeping pace with such advancements via the enactment of specific AI-based laws, the clarification of legal liability, and the establishment of regulatory frameworks that balance technological innovation with the protection of parties’ rights. It further stresses on the importance of cooperation among legislators and technical experts in drafting flexible and effective regulations.