In this paper we present an outline of a formal framework for representing Deontic Deep Structure Models for business procedures and contracts. These models can be used in redesign of such procedures. In particular, to transform paper-based procedures into electronic procedures for electronic commerce. The framework is based on a combination of deontic logic and action logic. To illustrate its usefulness we illustrate how transferable obligations, i.e. obligations that can be transferred from one agent to another, can be analysed in this framework. In particular, we analyse the difference between transfer of agency and transfer of liability of an obligation.

Deontic logic, Electronic commerce, Electronic contracting, Formal specification,
Accounting, Management and Information Technologies
Rotterdam School of Management (RSM), Erasmus University

Tan, Y.H, & Thoen, Walter. (1998). A logical model of transfer of obligations in trade contracts. Accounting, Management and Information Technologies, 8(1), 23–38. doi:10.1016/S0959-8022(98)00007-1