Being a crypto and decentralized economies enthusiast you can already guess that my answer is yes.
But the real question isn't "can it?" But "Will it?"
Or more specifically: will it be allowed to?
Most of what we debate when it comes to what crypto and blockchain can and cannot do, boils down to what current systems allow to manifest.
Of course, we must understand that we are a part of this system. As much as the politicians and select wealthy individuals hold significant power over the legal and governance systems of global economies, nothing can really withstand an angry public that's had enough and want change.
As such, if we want smart contracts to be a part of the future of nations governance systems, we'd have to be prepared to do what it takes because the limitations aren't the tech, but the system it's aim to replacing or improve.
Speaking of improvements, let's talk:
Integration
It is important to understand that smart contracts won't replace but improve the legal system.
It's like ed-tech. What gets replaced is the manual work, not what makes up the system.
By the system here, I'm generally referring to the laws, in the case of the legal system, and for the school system, we are looking at education itself.
Ed-tech automates what can be automated, records, scoring, student data analysis, these things can be handled by software.
In the same way, smart contracts will handle the manual tasks that can be automated and to the greater benefit, the legal system will earn more transparency and credibility since records will be immutable and publicly accessible.
This is a merit that's worth to have, smart contracts will handle the predictable, high-volume, low-ambiguity execution of agreements, while lawyers and courts will handle the complex, high-stakes, ambiguous situations that require human judgment.
Ultimately, smart contracts simply become the execution layer of the legal system, a solution that it's fundamentally designed for.