With the growing adoption of blockchain and smart contracts, legal regulation of these technologies has become increasingly important, particularly in India where their validity and enforceability remain uncertain. This article examines the application of smart contracts in real estate leasing, highlighting how they can address inefficiencies in traditional lease agreements while simultaneously raising complex legal issues. It analyzes challenges relating to legality, enforceability, and compliance with mandatory registration requirements for long-term leases under Indian law. The article explains the functional aspects of smart contracts, explores legal obstacles to their recognition in India, and proposes solutions to enhance their legitimacy, including reliance on arbitration agreements in blockchain-based contracts. It also undertakes a comparative study of global legislative approaches and assesses India’s readiness to adopt automated, smart contract–based leasing frameworks.
