From Contracts to E-Contracts: Modeling and Enactment

Contracts are complex to understand, represent and process electronically. Usually, contracts involve various entities such as parties, activities and clauses. An e-contract is a contract modeled, specified, executed and enacted (controlled and monitored) by a software system (such as a workflow system). Workflows are used to automate business processes that govern adherence to the e-contracts. E-contracts can be mapped to inter-related workflows, which have to be specified carefully to satisfy the contract requirements. Most workflow models do not have the capabilities to handle complex inter/intra relationships among entities in e-contracts. An e-contract does not adhere to activity/task oriented workflow processes, thus generating a gap between a conceptual model of e-contract and workflow. In this paper, we describe conceptual modeling of e-contracts and present a business process model for e-contract enactment. The enactment of e-contracts necessitates dynamic generation and initiation of workflows during the e-contract execution, besides the static workflows. ER^EC business process model facilitates an integrated approach to e-contracts enactment. Our methodology is illustrated by means of a case study conducted using Financial Messaging Solution contract for banking transactions.