title_body: How can smart-contract disputes be addressed? How will you disputes in a smart-contract obligation be managed? How is fraud prevented if a party does not fulfil an obligation?. When there are various jurisdictions, there may be different governing bodies.
upvoted_answer: Obligations that are written into the contract, can't be disputed. For example, if a contract allows money to be withdrawn from the contract address, only if the party leaves their money inside for some period of time, then it can be made impossible for a withdrawal to occur before the time is up, using the programming language of the contract.
  For things that can't be made impossible through code, then in some cases we can rely on penalties and rewards to enforce the desired running of the contract. One could code in a reward to any entities who provide a proof that a party was trying to cheat the contract, and penalise those parties who are caught. But for this to work, we need ways of providing proofs about the real world that our contracts can understand, which is why oracles will be an essential part of such systems.
  For any obligations that are not written in the code of the contract, they will rely on the same things that are in place today, court systems and public reputation. Legal systems may choose to recognise smart contracts as legally binding, and provide some pathway for dispute resolution when a smart contract has failed to do what was intended or otherwise.