BLP
2018/10
Online Arbitration: A European and US Perspective
Transactions are concluded increasingly online nowadays. E-commerce has achieved a top-ranking in people’s everyday life and therefore needs a clear set of rules. The article describes both the advantages and disadvantages of online dispute resolution in B2C internet disputes. A recognizable problem with online arbitration is enforcing and recognizing the arbitration agreement and the arbitral award. Up to this very moment, there are still no universally accepted rules directly governing online arbitration procedures. Online mediation is an alternative mechanism for dispute settlement next to online arbitration. This tool offers companies the possibility to resolve high-volume, long-distance conflicts (e.g. disputes between eBay customers). The conduct of the online mediation process results generally via e-mail and telephone. Despite some historical and legal differences between the U.S. and European systems of arbitration, online arbitration can be described as similarly convenient and effective in both forums. Besides the advantages of online arbitration, a progress still needs to be done in order to close the digital divide on a global scale.
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