You live in California. You bid on a canoe on E-bay. The bidding process goes awry. A dispute evolves between you and the seller who lives in Australia. Alternative Dispute Resolution (ADR) is the best way to solve the dispute. However, you can't afford to travel to Australia and the seller can't afford to travel to California. What can you do? Welcome to Online Dispute Resolution (ODR)! ODR is an alternative to face to face dispute resolution. It provides a medium for dispute resolution when meeting face to face is not an affordable option.
Online dispute resolution is a great option for people who have never met and probably will never meet. It can be used for all types of disputes including family disagreements, Internet domain name claims, insurance claims and customer dissatisfaction.
How does ODR work? ODR can be asynchronous (not at the same time) or synchronous (in real-time). As technology continues to advance there will be changes and improvements in the mediums for online dispute resolution. Currently, some of the most popular means of online dispute resolution involve e-mail (asynchronous), chat rooms, streaming video, secure site logins, instant messaging, discussion boards and video conferencing.
There are advantages and disadvantages to online dispute resolution. One of the biggest advantages is the ease of use and ability to connect people from across states, countries and continents. It can be less expensive and more convenient. Also, ODR data/information can be captured and archived for future reference. Furthermore, there is a built in cooling distance with asynchronous ODR. ODR can reduce bias based on physical appearances. Finally, ODR can be less emotionally charged due to the physical distance between parties. As the technology evolves, ODR will continue to improve.
There are some disadvantages to online dispute resolution. The lack of nonverbal communication cues can be frustrating; a puzzled look or aghast expression can convey the meaning of a sentence in a face to face interaction, nuances which online discussions inherently lack. Additionally, the response time for ODR can be disturbing as there is a waiting period between interactions. Finally, one of the major disadvantages of ODR is that not everyone is technologically savvy or has access to the World Wide Web.
When considering ODR some questions arise, including: Do both parties have access to the World Wide Web? Are both parties technologically savvy and do they have comparable Internet connections? Will the loss of nonverbal cues affect the outcome? What effect will the response time have on the outcome or resolution? Is ODR the most cost effective alternative?
As the world becomes smaller and e-commerce evolves more disputes will be resolved online. Currently, some of the types of disputes being handled online include complaint handling, arbitration (document submissions), mediation via e-mail or secure login sites, facilitated negotiation, case appraisal, automated negotiation (blind bidding), business feedback or complaint forms and negotiation support systems (ability to manipulate different scenarios for negotiations). There are a number of international bodies currently using online dispute resolution including the European Commission, the International Chamber of Commerce, the Federal Trade Commission, the Organization for Economic Cooperation and Development, and the Council of Better Business Bureau.
So whether you have an international dispute with a business, a clash with your neighbor or an unfair E-bay transaction, ODR can provide a medium for peaceful resolution.
This section of CRInfo provides valuable resources on Online Dispute Resolution.
