E-Commerce Dispute Resolution In India

Electronic commerce laws in India are in their infancy stage. Presently we have no dedicated electronic commerce laws in India and legal requirements for undertaking e-commerce in India are still maturing.

Similarly, adoption of online disputes resolution (ODR) in India is also at early stage. Corporate disputes and online disputes resolution in India and e-commerce disputes resolution in India are the upcoming trends that corporate world of India is exploring. Particularly, many e-commerce players in India have shown their interest in using ODR for resolving their customers’ disputes in an online environment.

Electronic commerce brings both comforts and discomforts to its users. The comforts include on the spot sales and purchase, competitive costs, convenience, saving of time, etc. The discomforts include frauds and cyber crimes committed against e-commerce users. At times there are disagreements and dissatisfactions as well among buyers and purchasers that cannot be resolved using traditional litigation methods.

This is the reason why we need alternative dispute resolution (ADR) mechanism to resolve e-commerce disputes in India. E-commerce regulations and laws in India are limited in nature and this does not allow use of ADR mechanisms and technology driven solutions. For instance, while European Union and other nations are increasingly using online dispute resolution (ODR) for resolving many aspects of e-commerce disputes yet online dispute resolution (ODR) in India is still not known.

Similarly, establishment of e-courts in India can also facilitate early and effective e-commerce disputes resolutions in India. However, till February 2012 we are still waiting for the establishment of first e-court in India. E-courts and ODR in India are urgently required to reduce backlog of cases and for reducing increasing pressure upon traditional courts. E-courts and ODR can also help in e-commerce disputes resolutions in India.

Some of the areas where we must pay special attention include technology related dispute resolution in India, film, media and entertainment industry dispute resolution in India, cross border e-commerce dispute resolution in India, etc. E-courts and ODR can be effectively used for all the abovementioned purposes.

E-commerce players in India have many techno legal obligations to follow and cyber law due diligence in India is one such obligation. Not only legal requirements for undertaking e-commerce in India are stringent but even Internet intermediaries liability in India must be taken seriously by companies engaged in online transactions and businesses.

Realising that cyberspace can bring many commercial benefits; both individuals and companies are ensuring that they have strong online presence. More and more brand promotion and protection in India are done these days in an online environment. Companies and individuals are also ensuring domain name protection in India so that their reputation and goodwill is not misappropriated by others. Brand protection, reputation management and domain name cyber squatting disputes are at rise and the same can be resolved using e-courts and ODR in India.

However, there is a general lack of awareness regarding use of e-courts and ODR for e-commerce disputes resolution. Further, there are very few e-commerce lawyers and law firms in India that can provide expert services in this regard. E-commerce players must also be aware that other laws, including intellectual property laws, can make these e-commerce players labile for civil and criminal actions. For instance, these e-commerce players can be held liable for online infringement of copyright in India of the copyright owners. Similarly, if any person posts an offending material at the e-commerce site or otherwise deal with the e-commerce site in an illegal manner, the e-commerce site owner may find himself in trouble.

Perry4Law and Perry4Law Techno Legal Base (PTLB) strongly recommend that before opening an e-commerce website or business, the owner of the same must consult a good techno legal law firm that can advice him upon all the possible and applicable aspect of e-commerce laws in India. Further, Perry4Law and PTLB also recommend active use of e-courts and ODR in India for resolving e-commerce disputes resolutions in India and corporate disputes in India.

We also believe that more effective and useful e-commerce laws in India must be formulated that expressly deal with e-commerce aspects in India. Let us hope that these suggestions would be implemented by Indian government very soon.

International Online Dispute Resolution

Commercial transactions have transborder ramifications. A person resident in country A may purchase a good from country B and make payment to country C. If a dispute occurs due to defect or impropriety of such good, multiple jurisdictions are involved. This makes the dispute resolution procedure costly, time consuming and highly unproductive.

These days’ alternative dispute resolution (ADR) mechanisms are considered more favourably than traditional litigation methods for resolving various commercial disputes. Further, with growing use of information and communication technology (ICT), online dispute resolution can also be an effective mode of dispute resolution.

However, International response to online dispute resolution (ODR) is still lukewarm. ODR has been increasingly seen as a good and viable option for commercial disputes resolutions. However, adoption of ODR at the national and international level is still not satisfactory.

Online dispute resolution (ODR) and international response is though improving yet international organisations like United Nations have to play a more pro active role in this regard. United Nations and online dispute resolution has seen a significant development in the recent past and more is expected in this regard. Similarly, ODR must be supplemented by other judicial technological innovative mechanisms like electronic courts.

Online dispute resolution in India is still in its infancy stage. ADR and ODR services in India are still evolving. Naturally, online dispute resolution services in India are still evolving. We have very few online dispute resolution centers in India. Further, Perry4Law Techno Legal Base (PTLB) is the sole techno legal ADR and ODR services provider in India.

Similarly, e-courts in India have still not been developed. Of course, we have computerised some courts in India but mere computerisation of courts is not establishment of e-courts. A successful establishment of e-court in India requires managing all traditional litigation related issues in an online environment that is presently missing in India. Further, training of e-court staff is also required. We have a single techno legal e-courts training and consultancy centre of India and world wide managed by PTLB.

Clearly, ODR and e-courts need to be developed further at both national and international levels. Although work in these directions is in progress yet we need to increase the speed at which these developments are taking place. But the future of ODR and e-courts is definitely bright and they must be adopted and used at both national and international level.

Online Commercial Arbitration In India

Arbitration is a cost effective and expeditious dispute resolution mechanism. A majority of commercial disputes are resolved through the mode of arbitration. International commercial arbitration has also become an emerging trend these days. Generally, an arbitration clause is incorporated in various contracts and commercial contracts that prescribe resolution of a future dispute through arbitration.

Traditional litigation is not a productive mechanism to resolve disputes as it is costly and time consuming in nature. Thus, there is a gradual shift from litigation to arbitration in commercial matters.

A new aspect has been added to commercial dispute resolution and commercial arbitration by the information and communication technology (ICT). ICT has introduced a novel dispute resolution mechanism known as online dispute resolution (ODR). Although ODR in India has still to keep a pace yet it has been used in developed countries for many purposes, especially for resolving cross border e-commerce disputes.

At Perry4Law Techno Legal Base (PTLB) we are not only providing training and courses on ODR but are also actively using the same for contractual and commercial disputes resolution in India. In fact, Perry4Law and PTLB have provided the exclusive technology dispute resolution policy of India and ODR policy of India so that ODR may gain popularity and a wider acceptance in India.

PTLB has supplemented its ODR initiatives with other techno legal initiatives. The chief among them are e-courts research and training centre, digital evidencing centre, cyber forensics centre, etc. We hope our initiatives and efforts would be beneficial for the growth of online commercial arbitration in India and world wide.

Online Dispute Resolution Standards Of Practice For India And Asia

Online dispute resolution in India (ODR in India) and Asian countries has yet to pick a pace. There is a lack of awareness about the concept of ODR in general and its use in particular.

At Perry4Law and Perry4Law Techno Legal Base (PTLB) we have already provided technology related dispute resolution policy of India and ODR policy of India that Indian government may consider and use while enacting laws regarding ODR and use of technology in dispute resolution.

Perry4Law and PTLB now wish to provide their suggestions regarding the standards of practice that may act as guidelines for practice across the spectrum of ODR in India and Asian countries.

We believe that ODR may be used for a wide variety of purposes and at various stages of dispute resolution. It may be used even before a dispute arises and may be helpful in removing the doubts and difference that may ultimately become a dispute.

We believe that the standards of practice must be not only “technology neutral” but also free from technical and legal complexities. “Party autonomy” must play the decisive role in the use and adoption of ODR in India and Asian countries. If parties prefer to use ODR for dispute resolution, technical and legal requirements must not come as hurdles.

Further, having multiple laws at international level is not conducive for the use of ODR. There is an urgent need to formulate “international standards” regarding use of ODR. Further, “international harmonisation” of ODR principles is also required.

The ODR system must be easily accessible to the parties to ODR mechanism. Effective use of e-governance and language translation service could help in this regard. ODR must also be easy to use and use friendly. Public awareness in this regard is a must and the same must be accompanied with a good techno legal ODR training of the stakeholders. At Perry4law and PTLB we not only spread awareness about use of ODR but are also providing research, education and training regarding ADR and ODR. We are also engaged in ODR and e-courts skills development in India.

Access to justice becomes a major hurdle while using technological solutions like ODR and e-courts. The marginalised segment of population must be made aware of how to use technology for ODR and e-courts purposes.

ODR mechanisms must be transparent and fair regarding the identities and affiliations of the ODR providers, the identities and affiliations of the interveners and managers of the ODR systems, and the security efforts undertaken by the ODR providers to safeguard user data and identity.

Jurisdictional issues and place of dispute resolution must be clearly specified and conveyed to the parties to the dispute. The ODR clauses in legal and non legal agreements must clearly specify the usage of ODR and a particular ODR service provider or panelist. It is generally claimed that the place where the ODR process occurs is where the ODR platform is.

ODR service providers must disclose their physical location and minimum contact details. Of course, without a “professional relationship” being established, other contact details should not be disclosed to prevent “spam communications”.

ODR panelists and service providers must have good techno legal skills and expertise to engage in ODR dispute resolution. A person or institution possessing both technical and legal knowledge (techno legal skills) is the ideal institution or individual for ODR purposes. ODR platforms must also ensure that in cases of need, expertise of professionals from various fields is available on request.

Bona fide works and efforts of ODR service providers and ODR panelists should be legally and equitably protected under all the jurisdictions of the world. A clause in this regard must be incorporated in the ADR and ODR laws of various countries as well as in the agreement to hire ODR services of an individual or institution dealing in ODR service providing.

ODR service providers must ensure privacy, confidentiality and data security of various details, data, information, etc as required by national, regional and international law.

These are just basic level suggestions and more detailed suggestion and policies would be provided by Perry4Law and PTLB in due course of time. We are also working in the direction of providing an ODR legal framework for India that can be adopted by other Asian countries, with or without modifications.

UNCITRAL, ODR And India

Online Dispute Resolution (ODR) in India (ODR in India) has long remained in the pipeline due to lack of knowledge and absence of adequate will power to use Information and Communication Technology (ICT) for Dispute Resolution. Perhaps, it is a very bizarre idea for Indian Industry and Commercial Entities to use ODR for Dispute Resolution.

ODR can become a very effective Alternative Dispute Resolution (ADR) Mechanism (ADRM) in India. The present ADRM in India is governed by the outdated and problematic Arbitration and Conciliation Act, 1996 (Act). Fortunately, Law Minister Veerappa Moily has shown his willingness to amend/reformulate the Act. However, it has already taken a long time and it may take another year or so to be finally introduced in the Parliament of India.

The real problem for the lack of development of ODR in India and Worldwide is due to absence of “Harmonised International Norms” in this regard. Even at the National Level, India is not at all enthusiastic regarding use of ICT for Legal and Judicial purposes.

Take the example of innovative and useful Project of E-Courts in India. E-Courts can greatly reduce the arrears of cases in India and would be great in bringing transparency and efficiency in Indian Judicial System. However, till the month of December 2010, we are still waiting for the establishment of first E-Court of India.

Similarly, the National Litigation Policy of India (NLPI) has not given enough attention to ICT related issues of Litigation and Dispute Resolution. For instance, brief mention of ODR and E-Courts could have made the Policy perfect. Nevertheless, the Policy is a good step in the right direction and may include E-Courts and ODR in the near Future.

At the International Level, United Nations Commission on International Trade Law (UNCITRAL) is working in the direction of providing a “Harmonised Legal Framework” for ODR. There are very few “ODR Providers” in India and, unfortunately, none of them are part of the recently constituted “Working Group on ODR” of UNCITRAL. This would “Drastically Reduce” the changes of “Adequate and Forceful Representation” to be made to the Government of India for suggesting use of ODR in India.

Till “Regional ODR Systems” are established, there is no sense and little hope of success of ODR in India. International Harmonisation would not serve the purpose in such situation as there would be “Inconsistent and Parallel Mechanisms” that would be operating and defying all Harmonisation efforts of UNCITRAL. Also UNCITRAL cannot make “Generic Norms” for all situations as there may be “Conflict of Interests” in cases of “Consumer Disputes”. UNCITRAL has to do lots of work before ODR can be a Globally Accepted.
Dispute Resolution Method.

Online Dispute Resolution In India

Online dispute resolution (ODR) is one of the most effective methods of dispute resolution. However, in the absence of international harmonisation and lack of technical expertise, ODR has still not achieved what it could have achieved.

Online dispute resolution in India (ODR in India) is not even at its infancy stage. In fact, it does not exist at all. This is so because the legislature of India is not very comfortable with technology related issues.

For instance, information and communication technology (ICT) has not been a part of either the legal system of India or the judicial system of India. Till August 2010 India does not has even a single e-court.

Lawyers and judges are neither conversant nor very comfortable with the ICT related issues and technology laws. Very few of them are aware about the cyber law of India. They are also not aware of the benefits of ICT and e-governance in the sound legal and judicial purposes.

So much so that we at Perry4Law and Perry4Law Techno Legal Base (PTLB) are managing the exclusive e-courts training and consultancy Centre of India. This initiative is very comprehensive in nature and would strengthen the e-courts in India and ODR in India.

However, the ultimate call is for the Law Minister Veerappa Moily to take. For some reasons he has not considered the use of ICT for legal and judicial reforms of India. Even the National Litigation Policy of India (NLPI) suggested by him lacks ICT strengthening.

India needs to take care of many aspects if it wishes to become an Arbitration Hub of the World. It cannot expect to be the same for international commercial arbitration till it adopts both technology as well as an effective legislative framework.

The Arbitration and Conciliation Act 1996 urgently needs suitable amendments, perhaps a reenactment, keeping in mind the contemporary requirements and International standards.

India has waited for a long and it is high time for it to take some real, effective and actual steps in the directions of international commercial arbitration, ODR and e-courts.

Legal and Judicial Systems Of India Need Innovative Methods

Indian judiciary is under tremendous pressure and the increasing backlog of cases is further adding stress to its already stressed functioning. No matter how many courts we open and no matter how many judges we recruit, this backlog of cases would keep on increasing. This is so because our legal and judicial system is deficient and defective.

The legal system is defective as it provides breeding ground for excessive, redundant and fruitless litigation. The governmental departments are in a “compulsive habit” of dragging cases up to the Supreme Court level even though they need not be filed at the very first stage themselves. There are no efforts taken to use alternative dispute resolution (ADR) mechanisms like arbitration, conciliation, mediation, etc to settle cases out of court.

The judicial system is defective as it allows these redundant cases to be filed and dragged up to the level of Supreme Court. No sincere and serious efforts are undertaken to divert civil disputes to ADR mechanisms. The judicial system is also lethargic to adopt and use information and communication technology (ICT) for dispute resolution and effective justice administration.

The truth is that India needs innovative methods to tackle increasing backlog of cases and future cases. At least two innovative methods can be adopted by Indian judiciary. The first one pertains to adoption of online dispute resolution (ODR) mechanisms in India. Till now not even ADR has been properly used in India so using ODR seems to be a distant dream.

Secondly, nothing is more effective than use of e-courts in India. Till the month of August 2010 we are still waiting for the establishment of first e-court in India. India is really confused between computerised courts and e-courts. Whereas India has few computerised courses it has no e-court till now.

There is an urgent need of bringing suitable legal and judicial reforms in India and innovative concepts like ODR and E-Courts can go a long way in achieving this objective. The National Litigation Policy of India (NLPI) has also unfortunately failed to accommodate these innovative concepts. Law Minister Veerappa Moily must include these innovative methods in the amended NLPI as soon as possible.

Online Dispute Resolution Got Techno Legal Boost

Alternative Dispute Resolution (ADR) is an important method of speedier, economic and effective dispute resolution. Information and communication technology (ICT) has further increased the efficiency and benefits of ADR. Now the newer concepts like Cyber Arbitration, Cyber Mediation, Online Dispute Resolution (ODR), etc have emerged. 

Trans border E-Commerce activities and business activities mandate that there must be an effective, timely and suitable ADR and ODR mechanism in place where business have to be established. This correlation of foreign direct investment and ADR and ODR is not only direct but also very remunerative. Absence of effective ADR and ODR mechanism may prove detrimental to the valuable foreign exchange. 

Perry4Law is managing exclusive Techno Legal ADR and ODR Services in India and World wide. Further, Perry4Law Techno Legal Base (PTLB) is also managing the best techno Legal ADR and ODR Research and Training Centre of India and World wide. The best part is that these ADR and ODR initiatives have been “Integrated” with an allied and very promising field known as E-Courts.

To provide holistic and coordinating activities regarding ADR and ODR, Perry4Law and PTLB have launched the most comprehensive Techno Legal Initiatives of the World. This initiative is combining all the possible aspects of Techno Legal Field at a “Single Platform”.The only requirement that remained was a Blog through which we can share our ideas, projects, initiatives, collaborative activities, etc. With the present platform even this has been achieved.

Persons or institutions interested in having a joint project, sponsorship, partnership, tie up, association, memorandum of understanding (MOU), etc may contact us in this regard.