Technology has seeped its way into every aspect of our life, from the way we live to the way we order food, each area of our life has been impacted by technological changes. Therefore, it was only a matter of time before technology changed the way we resolve our disputes.

Alternate Dispute Resolution or ADR had emerged as a time-effective and pocket-friendly method of resolving our legal disputes without resorting ourselves to the court system. One such alternate method is that of mediation.

Mediation is a process wherein the parties meet with a mutually selected impartial and neutral person who assists them in the negotiation of their differences. It provides the parties with a platform to have a face-to-face discussion regarding their issues and resolve them peacefully. With Artificial Intelligence becoming all the rage in the Silicon Valley and world-over, there has been a surge in platforms providing online mediation, bringing forth the combination of technology and law.

“Groundbreaking technological advancements are revolutionising the frontier of peace and mediation,” said Sama al-Hamdani, programme director of Hala System, a private company using AI and data analysis to gather unencrypted intelligence in conflict zones, among other war-related tasks.

A need for such an innovation was felt in the times of lockdown and COVID-19 with mediators being unable to conduct face-to-face sessions. What started as many perceived as an experiment has blended law and information technology, thereby taking centre change of this highly dynamic field.

In USA, it has been found that American litigants are more favourable towards the convenience of resolving disputes at home instead of driving to an actual courthouse. On the other hand, China is investing heavily in “internet courthouses” that are judge-centric, wherein non-binding evaluation is followed by negotiation and mediation rounds, with a binding court resolution as the final step.

There is a mix of private and public forces driving the Online Dispute Resolution (“ODR”) process at the global stage with private sector companies investing in USA and the Ministry of Justice actively approaching ODR integration in the British Columbia.

India too has taken a step in the direction of ODR with the introduction of the Mediation Act, 2023, enacted on September 15, 2023, which emphasizes on online mediation, community mediation, and institutional mediation. The Act gives equal footing to ODR under Section 30, which allows for mediated settlements in the digital realm. The Act provides further flexibility to the mediation process as ODR can be conducted at any stage of mediation.

 The legal tech company, ‘Sama’ enabling government bodies, companies and individuals to resolve their legals disputes online, has spearheaded the ODR movement.

In a statement, Sama’s co-founder Akshetha Ashok said, “We believe that ODR (Online Dispute Resolution) is the future of the justice system. Our vision is a world where anyone who files a case receives due care and attention, as well as a fair and equitable outcome in a quick and cost-effective manner.”

There are many other such firms emerging, taking the process forward. CADRE or Centre for Alternative Dispute Resolution Excellence is a website-based online program that simplifies the arbitration rules and makes the process more efficient and secured. Centre for Online Dispute Resolution or CODR is a private institution that focuses on online cases end to end while covering cases of property agreement, separation agreements and dispute resolution.

ODR brings with it a set of concerns regarding privacy and procedural issues. However, as ODR gains momentum in India, a regulatory framework is being set-up to support it. ODR relies on three pillars: convenience, trust, and expertise. Initiatives like e-mediation, e-negotiation, and e-arbitration showcase the adaptability of parties to different procedures. Parties use electronic signatures for authentication, awaiting panel assignment by ODR Service Providers. Renowned institutions such as World Intellectual Property Organisation (WIPO), International Chamber of Commerce (ICC), and Singapore International Arbitration Center (SIAC) have made strides in ODR.

The process involves filing complaints by the complainant, seeking compensation from the respondent, followed by detailed replies and negotiations. Algorithmic Dispute Resolution resolves some disputes using tailored software. ODR acts as an administrator and infrastructure provider, avoiding the role of a judge. Dissatisfied parties may reopen cases for arbitration. IDAC (International and Domestic Arbitration Centre) of India follows a four-step process: issuing notices, appointing arbitrators, conducting proceedings, and executing awards. These guidelines ensure efficient and fair resolution in the evolving ODR landscape.

As the realm of ADR goes on expanding, it presents a transformative opportunity for ODR to take centre stage and streamline and enhance the resolution of legal conflicts in this digital world. With continued innovation, collaboration and adherence, the position of ODR will be further solidified as a cornerstone of modern dispute resolution.