Thank you for taking the time to explain this, it is a more complex topic than it first seems.  

Would the contracts be implemented on the block chain as well so that there say could be some arbitrators, or a voting type system where certain parties vote to shut down an app rather than the centralized approach.  Or does that interfere with the legal structure because there's no one company or individual responsible for contract enforcement? 

eg say someone uses the nodes for gratuitous spamming or network attacks, could Person A cast a vote to shutdown Person B with an explanation why and then a bunch of highly regarded nodes or arbitrators can all vote based on the presented facts (maybe from both parties) and the app gets shut down if enough votes say "this is a bad app"?  Or would the parent UK licence provider step into the picture along with Person A to deal with a bad Person B's app?

Also how would it work if it was a distributed app running on many nodes and across several borders and legal jurisdictions?   Or will this not be possible?  That seems a bit limiting if so, because then it's a bit like dealing with a data centre for leasing servers without the true distributed computing power that a larger network could provide.