Innovative technologies and data in contracts

The growing deployment of innovative technologies such as AI and data driven business models in private transactions have raised questions around potential needs for adaptations of private law, notably contract law to the needs of the digital economy. 

Data collection and analytical work has been carried out in the following two areas with implications for contracts: automated contracting and data in contracts.

Automated contracting

The digital economy and continuous improvements in computational power have led to increased deployment of automated systems in contracting. Automated contracting, in particular based on AI and smart contracts, can be relevant both in business-to-business (B2B) and business-to consumer (B2C) transactions. The increased automation of various stages of the contract life cycle enables increasingly autonomous contract conclusion and performance without human intervention.  This raises questions as to how to apply human-centric contract laws to transactions with or between AI systems.  

Automated contracting was discussed at the third meeting of the High-Level Forum on Justice for Growth on 16 October 2025. The related discussion paper is available here.

Next steps

As announced in the Apply AI Strategy, the Commission will establish a discussion forum with interested stakeholders on reducing risks in AI contracting for SMEs (including startups), providing legal guidance, notably in the form of model contract terms for AI contracts and on the choice of AI contracting systems.

Documents

Several studies collected data on market developments and analysed the legal framework applicable to automated contracting in the EU. 

Data in contracts

Data is becoming a key production factor and an economic asset with growing value, including for the development of AI. Data itself can be the object and purpose of contracts in economic transactions involving both businesses and consumers. Such contracts are referred to as data sharing or data provision contracts.     

Data sharing/ provision contracts are subject to general contract law, which does not address data-specific questions. This results in uncertainties in relation to the data-specific rights and obligations of the contractual parties. 

The Data Act tasks the Commission to recommend non-binding Model Contractual Terms on data access and use. These Model Contractual Terms help parties, particularly SMEs, to draft and negotiate data sharing contracts, thus facilitating compliance with the Data Act and cutting costs. 

Additional questions arise around potential imbalances in value distribution in data sharing. While companies that develop data-driven business models derive value from the data they collect, it is not always clear what, if anything, is provided in exchange for that data.

Contractual aspects of data sharing and data driven business models were discussed at the third meeting of the High-Level Forum on Justice for Growth on 16 October 2025. The related discussion paper is available here. 

Next steps

Recommendation on non-binding Model Contractual Terms on data access and use and non-binding Standard Contractual Clauses for cloud computing contracts (including translations in Member States’ languages). 

Monitoring implementation