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Online Justice:Ethical Considerations for
Online Dispute Resolution Practice
Colin RuleDirector of Online Dispute Resolution, eBay/PayPal
Seattle University School of Law, October 21, 2010
What is ODR?
2
Online Dispute Resolution (ODR) is the use of information and
communications technology to help
disputants find resolution to their disputes.
What is ODR?
3
Online Dispute Resolution (ODR) is the use of information and
communications technology to help parties manage,
transform, and resolve their conflicts.
Resolution Matrix
EBAY INC. PROPRIETARY & CONFIDENTIAL
HIGH
LOW
HIGH LOWOUTCOME CONTROL
PROCESSCONTROL
FACILITATIVE MEDIATON
EVALUATIVE MEDIATON
MED/ARB
DIRECTNEGOTIATION
FINAL OFFERARBITRATION
ARBITRATION
PRIVATEJUDGING
BINDINGNON-BINDING
Common (but not all) ODR Types
Problem DiagnosisAn automated process that provides buyers and sellers key information and sets reasonable expectations
Direct NegotiationA tool that enables disputants to communicate directly through a web forum in an attempt to reach agreement
MediationA process in which an impartial third party joins the discussion between the disputants to help them find resolution
EvaluationThe endpoint for ODR, where a neutral hears both sides of the dispute and then renders a decision that is binding on both sides
Online communication types
ASYNCHRONOUS
SYNCHRONOUS
emails
discussion boards
chats
instant messaging
audio conferencing
video conferencing
The Need for ODR
All societies must provide redress• Without it, users/citizens lose trust• Trust is essential to commerce and cooperation• Redress is just one element of trust building
Offline, redress is usually judicial• Courts provide civil and criminal options• Law enforcement guarantees outcomes
Online, judicial designs don’t work• Geographies are irrelevant• Enforcement must reside in the code
Resolving Disputes on eBay and PayPal
eBay is big
More than 240 million users
More than 4 billion feedbacks left
>1 billion items have been listed on the site in 2008
If eBay users were counted as citizens, eBay would be the 5th largest country in the world
eBay’s role is unique
eBay sells nothing
eBay buys nothing
eBay holds no inventory
eBay has no product,other than the website
eBay’s job is to ensure that the marketplace continues to run smoothly – as such, eBay is a third party convenor
B S
B S
File a dispute FILE COMMUNICATE ESCALATE
File a dispute: step 2 FILE COMMUNICATE ESCALATE
File a dispute: step 3 FILE COMMUNICATE ESCALATE
Finding open cases (buyer and seller) FILE COMMUNICATE ESCALATE
Dispute details page: buyer FILE COMMUNICATE ESCALATE
OASCaseDB
Central Clearinghouse
NationalAdministrator
NationalAdministrator
ODRProviders
Key Components:A Central Clearinghouse, who maintains the case database; National Administrators; and ODR providers approved by the National Administrators
Seller
Seller
Seller
Global Buyer Protection System Design
Sellers each opt-in to the system voluntarily
ODR providers apply and are approved individually
The Community Court
Ethical Dilemmas
Differences between F2F and online DR
Impartiality / Independence
Cost and fees / Accessibility
Confidentiality / Transparency
Systems design
202008 UN ODR WORKING GROUP
Ethical Dilemmas (2)
Power differentials
Repeat players vs. one-off players
Selection bias
Panels vs. practitioners / feedback
Enforcing ethical standards
International standards programs
212008 UN ODR WORKING GROUP
222008 UN ODR WORKING GROUP
232008 UN ODR WORKING GROUP
Conclusions
ODR is a vibrant and growing segment of the ADR field
Applications are evolving all the time
It brings new ethical challenges for our field
Today’s ODR will look primitive in 5-10 years
ADR practitioners should be aware of ODR tools and techniques
242008 UN ODR WORKING GROUP
Resources
The National Center for Technology and Dispute Resolution: http://odr.info
The UN Working Group on ODR:http://www.odr2010.com.ar/ing/
UNCITRAL ODR Colloquium: http://www.pace.edu/page.cfm?doc_id=35749
ADR Cyberweek: http://www.odr.info/cyberweek.php
