The manner in which we are resolving legal disputes in India is slowly changing. As an effect of technology, we are welcoming a somewhat new system known as Online Dispute Resolution (ODR). To clarify, ODR is the process of resolving disputes online as opposed to a physical court.
With Courts burdened with cases and litigations delaying due process, ODR appears to be a reasonable approach to resolving legal disputes. But, is it truly the future of litigation in India? Let’s explore further.
What is Online Dispute Resolution?
Online Dispute Resolution essentially refers to using the internet to resolve legal issues. Parties do not have to go to courts; they can resolve their case online through mediation, arbitration, or negotiation. All activities, including sharing documents, speaking with mediators, submitting evidence, etc., are done online.
ODR works best for civil disputes, e-commerce disputes, consumer disputes, small business-related disputes, etc. It is convenient, fast, saving money and time. Best of all, it can help people from remote areas who do not have access to courts travel even greater distances than the typical.
Why Does India Need ODR?
We all know that all Indian courts are burdened. There are just more than 4.5 crore pending cases in Indian courts; some of which take years and sometimes even decades to be resolved.
ODR can help address this issue. Resolving disputes online helps reduce the burden on the courts, speed up the process to resolution, and help people receive justice more quickly. The government has already started to support digital solutions such as e-filing, E-Courts and pilot ODR projects, which indicates that the country is moving towards technology in the administration of justice.
How ODR Works
Here is the normal process for ODR in India:
Complaint Submission: You submit your dispute on an online platform.
Negotiation: The parties communicate via online chat or video in an attempt to settle the matter.
Mediation: A neutral, trained mediator assists the parties in coming to an agreement.
Arbitration: If mediation fails to resolve the issue, the arbitrator renders a binding decision.
ODR platforms frequently offer video conferencing capabilities, a document storage and sharing function, and sometimes even AI features that can assist the parties in resolution. Some platforms may even provide suggestion settlements based on comparable cases, which may help facilitate decisions.
Benefits of ODR
ODR is gaining traction in India and across the globe because it has numerous benefits:
Quicker Resolution
Traditional court cases can last several years, whereas ODR can resolve disputes in weeks or a few months, thus saving a lot of time.
Cost-effective
No court travel, abolishing multiple lawyer fees for hearings, and lower court costs makes ODR less expensive than traditional court litigation.
Convenient Access Anywhere
You only need the internet, and even someone in a village can fully participate.
Flexible working time
There are online platforms where parties can attend and complete video hearings at their convenience without disrupting their daily routine.
Confidentiality
Unlike other disputes such as commercial disagreements or family problems, many family issues are privileged and should be confidential. ODR offers even more confidentiality than the traditional court process.
Challenges of ODR
While there are advantages, ODR has some limitations. These include:
Digital literacy: Not everyone can navigate digital platforms.
Internet accessibility: Some rural locations do not have reliable broadband.
Enforcement issues: Some ODR decisions will need to be approved by the court.
Complex cases: Criminal cases or multi-party civil disputes will be difficult for the ODR process.
Trust issues: People may be disinclined to trust the online system entirely.
Government Support
The Indian government is gradually moving towards ODR support. The law and justice ministry had established an ODR pilot for consumer disputes in 2020. Industry bodies such as Nasscom and FICCI are promoting ODR for commercial disputes especially in the area of e-commerce.
The IT Act, 2000 and the changes made to provide for amendments under the Commercial Courts Act, 2015 provide legal grounding to the ODR. This makes it a more trusted and secure system.
Is ODR the Future of Litigation in India?
While ODR will not eliminate courts entirely, Courts will still deal with major criminal cases and complicated civil disputes. To put small disputes, commercial issues, or consumer concerns into the legal system- ODR can make it quicker, cheaper, and more accessible.
Lawyers and law firms will have to change too. Knowledge of ODR platforms and being able to assist clients with online applicable dispute resolution will save all involved time and money. Companies can even consider signing ODR clauses in contracts to avoid a long battle with other parties later.
With advances in AI and machine learning, ODR may soon become even more progressive. In the near future, AI may assist with evidence analysis, provide expected outcomes, and proffer ideas, making dispute resolution consequential and prompt.
Final Words
Online Dispute Resolution is gradually transforming our experience of justice in India. It is quick, less expensive, and more accessible, making it a viable option for a legal system in overload. Even though ODR faces challenges such as digital capability and trust, its benefits exceed its challenges.
ODR is more than just a phase, it is the future for the resolution of lower value disputes. While traditional court processes will still be relevant, ODR will be an effective supplement to conventional court processes that will improve justice in a more efficient and fair way.