OriginTrail - Litigation

With OT Node software version 3 OriginTrail introduced litigation procedures which will punish Data Holder (DH) nodes which can't prove holding the data they had agreed on.

Litigation involves the Ethereum blockchain to have an immutable record of all different steps and decisions made by smart contracts.

Before a litigation procedure usually starts, Data Creator (DC) node - which created the offer - asks DH to prove holding of a specific data subset of the concrete offer. If DH can't prove or doesn't even answer to several requests, DC will decide to start litigation.

After DC started the procedure by sending a transaction to the blockchain, DH needs to answer within a specific amount of time (which was part of the initial offer agreement, standard currently 5 minutes) also with a transaction on the blockchain including information which proves it's holding the requested data.

Based on data both sent in their transactions, an Ethereum smart contract can then check if DH told the truth. If so, litigation procedure is finished and DC has to wait a specific amount of time (also part of the initial offer agreement) before it can start another litigation procedure.

If DH was proven wrong it will lose the reserved token for the offer and they will be transferred to the DC. After that DC will notify other DH nodes that the litigated node is being replaced. DH nodes will then contact DC node to get the data replicated and to bid for it as it is with a regular offer.

Future Additions

In future releases it's planned that Data Creator (DC) nodes can also be punished if they try to cheat by using wrong data for reasoning. In this case DC will lose the reserved token for this concrete offer, they will be transferred to the DH.

Data Viewer (DV) will probably also be able to start a litigation procedure against a DH node if they think it delivered wrong data.

You can find an in-depth description of litigation in the official documentation.