Smarter Contract

I call these new contracts "smart", because they are far more functional than their inanimate paper-based ancestors. [ Szabo, 1996. ]
Smart Contracts or Smarter Contracts are a way to make relationships securer. They are a type of rigid commitment with mechanical defection-prevention measures — and thus a type of Security System.
Smart Contracts are a type of sophisticated contracts, which combine protocols with user interfaces to formalize and secure relationships. As a a field of development Smarter Contracts push the limits of the coding to get to more sophisticated—i.e. smarter—contracting.
Objectives and principles for the design of these systems are derived from legal principles, economic theory, and theories of reliable and secure protocols. Similarities and differences between smart contracts and traditional business procedures based on written contracts, controls, and static forms are discussed. By using cryptographic and other security mechanisms, we can secure many algorithmically specifiable relationships from breach by principals, and from eavesdropping or malicious interference by third parties, up to considerations of time, user interface, and completeness of the algorithmic specification. This article discusses protocols with application in important contracting areas, including credit, content rights management, payment systems, and contracts with bearer.A smart contract is a set of promises, specified in digital form, including protocols within which the parties perform on these promises.  [ Szabo, 1996. ]The basic idea behind smart contracts is that many kinds of contractual clauses (such as collateral, bonding, delineation of property rights, etc.) can be embedded in the hardware and software we deal with, in such a way as to make breach of contract expensive (if desired, sometimes prohibitively so) for the breacher. A canonical real-life example, which we might consider to be the primitive ancestor of smart contracts, is the humble vending machine.
A popular type of Smarter Conctract uses Blockchain technology.
Blockchain and smart contracts are the present and the future when it comes to big ideas in contract lifecycle management. They save time, create a Posner-inspired world of beautiful economic efficiencies, and reduce legal spend and internal cycle time, while ensuring absolute transparency and control.