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The Online Dispute Resolution (ODR)- the future for Alternative Dispute Resolution (ADR) ?

Written by Lucio Morcillo Peñalver on 11 September 2015

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As the Internet grows it has become necessary to design efficient mechanisms for resolving Internet disputes. 

Litigation, of course, is always an option. But that can be not only time-consuming,  but also extremely expensive.

The main purpose of this article is to highlight the importance for online consumers and traders to use new tools like the ODR, which is a practical and new method of solving problems through internet without going to court.

According to REGULATION (EU) No 524/2013 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL of 21 May 2013, the Online Dispute Resolution (ODR)  "offers a simple, efficient, fast and low-cost out-of court solution to disputes arising from online transactions"

This means that this type of ADR allows parties to resolve some form of disputes via the Internet and it allows virtual communications without requiring the parties to be in the same room, or even in the same city or country.

Here are some examples of some ODR web pages;

             - eBay (the most popular)

             - Canadian Civil Resolution Tribunal

             - Nominet

             - Resolver

             - Youstice

             - Cybersettle

            - Traffic Penalty Tribunal

Also, there are three main types of dispute.

1) Business to Business (B2B): Disputes revolve around two commercial parties that are seeking to resolve a dispute over a specific transaction.

2) Business to Consumer (B2C): These kind of disputes are the most common in any ODR, mainly because the consumer will always be the weaker party. The consumer will always need more protection and the ODR is an excellent way to give more protection to consumers.

3) Consumer to Consumer (C2C): They are increasingly common in ODR and this kind of dispute arise typically from a particular seller and a buyer who usually wants to buy a second hand item.

 

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