Disputes arising from smart contract executions are addressed by traditional legal principales, but the unique nature of smart contracts creates some challenges. 

     Smart contracts are self-executing and automated, but problems can still occur, such as coding errors, disagreements over the contract’s interpretation, or situations where the contract no longer reflects the parties original intentions. Additionally, because blockchain prerates in a decentralized and sometimes anonymous way, it can be difficult to assign liability or determine jurisdiction. 

     Due to these challenges, alternative dispute resolution, especially arbitration, is often preferred over traditional court procedures. Alternative dispute resolution is more suitable because it can involve tech experts, maintain confidentiality, and handle issues that traditional courts might struggle with , such as interpreting code or dealing with anonymous parties.