Tuesday, November 2, 2010

Business, Consumer, Government and Provider Perspectives

Ernest Thiessen - Smartsettle.com

  • Visual blind bidding system that rewards generosity to improve negotiations.
  • When bids/offers overlap, splitting the difference can have chilling effect on negotiations.
  • Dampened pendulum arbitration: outside arbitrator determines where fair deal would fall between bids. Smartsettle rewards party whose offer was closest to fair offer.

May-Britt Kollenhof-Bruning, Juripax.com

  • dedicated prep and intake solutions for employment, divorce, small claims, personal injury claims
  • prep: diagnosis and intake form
  • emphasis on early dispute resolution
  • belief that moder technology and innovation is the key to continued access to justice
  • Internet as global public resource should also be able to provide disputants with tools for self-help and self-determination
  • Juripax's goal ...to enhance efficiency in judicial and dispute resolution processes that create economic benefit for public
  • considers self 4th party - just serves as the provider of technology

JURIPAX's Achievements

  • proved case for ODR in terms of effectiveness and efficiency
  • Development of process-driven software (80% generic, scalable / 20% dispute specific and dispute resolution specific)
  • multilingual capability and cross-cultural competence
  • confidentiality and data security
  • ODR training: 1) system 2) dynamics of online negotiation and mediation
  • Integrating user feedback loops
  • getting ready for the future: further internationalization; interoperability; make suitable for mobile devices; up-scaling & recurring fees

Technology Assisted e-Negotiation

  • multi-tiered service: facilitating handling of questions, issues or complaints throud diagnosis and direct negotiation (intelligent questionnaire)
  • if the claimant decides to proceed, can file a complaint (files a form that is sent to respondent through pre-defined form)
  • At any time, parties can ask for help of third party
  • digital file can then be taken to Dutch complaint board [DT: filed with the court]
  • platform works for multiple languages
  • can include online translation services by certified professional translation services for fee

Findings

  • less than 10% of cases required mediator
  • structuring of process - transparency, availability of redress - is trust-engendering for parties
  • most consumers indicated they are very satisfied in terms of outcome, speed and possibility to have a voice
  • middle sized companies appear most satisfied. Larger companies concerned about lack of connectability with existing systems

Online Mediation

  • either fully online or hybrid (combination of online preparation and subsequent traditional ADR /judicial procedures)
  • online problem diagnosis / mediation prep tools for small claims, labour, divorce cases
  • online mediation in divorce cases - now part of service offerings of Dutch Legal Aid Board/Ministry of Justice
  • 80% settlement rate
  • less than 3% of end-users used tech helpdesk (90% of probs were with log-in)
  • savings relative to face-to-face mediation is 30%-40%
  • evidence that online setting can help reduce perception of biases and power imbalances

Confidentiality and Data Security

  • personal data protected
  • web-based application protected by name and password
  • secure areas of juripax are encrypted
  • multiple servers protected by firewalls, etc.

Can ODR providers create business model for ODR without government money? Juripax says 'yes'. Internet gives consumers platform to organize themselves.


Eiichro Mandai, ODR Room Network, Japan

  • Reinforced that ODR can help to increase cross-border transactions


Gabrielle Szlak, Latin American Institute for Electronic Commerce, Buenos Aires

Challenges for ODR in Latin American Context:

  • logistice and mail services inefficient and expensive
  • IT challenges
  • broad band penetration (growing but still low)
  • banking and electronic money (growing but still low)
  • *Still, eCommerce continues to grow at 40% annually

Characteristics of Users

  • broadband levels low / mobile phones high (higher than USA)
  • very important to have prepaid mobile system for payment
  • if we are talking about people connecting through public places or workplaces, need to consider security

Solutions in ODR: build trust in eCommerce through power of technology

ILCE Role:

  • promote best practices and legal framework of ODR
  • assist providers for harmonized implementation of ODR
  • education

Pilot program: eConfianza.org

  • believe there is no other way to get cases into system
  • don't believe they will succeed if they sell ODR
  • vendors will want to display seal so consumers will have confidence to purchase from them
  • Pilot stage 1: direct negotiation; stage 2: can go to mediation or arbitration platform

Modules: for ODR implementation by ODR providers: tech module; legal module; training module.

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