A Context-Based Institutional Normative Environment

We explore the concept of an agent-based Electronic Institution including a normative environment that supports electronic contract formation by providing a contextual normative background. We formalize the normative state using first-order logic and define institutional rules and norms operating on that state. A suitable semantics regarding the use of norms within a hierarchical context structure is given, based on norm activation conflict and defeasibility. Norm activation relies on substitution as in first-order logic. Reasoning about the fulfillment and violation of deadline obligations is formalized using linear temporal logic; implementation with institutional rules is discussed. Examples exploiting the normative environment are given.