Artificial intelligence and renegotiation of commercial lease contracts affected by pandemic-related contingencies from Covid-19. The project A.I.A.Co

TL;DR

This paper explores how AI can assist in renegotiating commercial lease contracts affected by Covid-19, focusing on legal compatibility and developing a predictive framework to aid courts and parties.

Contribution

It introduces A.I.A.Co., an AI-based system designed to help renegotiate lease contracts during pandemic-related contingencies, integrating legal analysis with predictive modeling.

Findings

Legal analysis of Italian law on contract maintenance during contingencies.

Development of the A.I.A.Co. AI framework for rent redetermination.

Potential for AI to support judicial and out-of-court lease negotiations.

Abstract

This paper aims to investigate the possibility of using artificial intelligence (AI) to resolve the legal issues raised by the Covid-19 emergency about the fate of continuing execution contracts, or those with deferred or periodic execution, as well as, more generally, to deal with exceptional events and contingencies. We first study whether the Italian legal system allows for ''maintenance'' remedies to cope with contingencies and to avoid the termination of the contract, while ensuring effective protection of the interests of both parties. We then give a complete and technical description of an AI-based predictive framework, aimed at assisting both the Magistrate (in the course of litigation) and the parties themselves (in out-of-court proceedings) in the redetermination of the rent of commercial lease contracts. This framework, called A.I.A.Co. for Artificial Intelligence for contract law Against Covid-19, has been developed under the Italian grant ''Fondo Integrativo Speciale per la Ricerca''.