ODR has been used in the e-commerce setting but has now expanded into the public sector. This page highlights some developments within the public sector.
Modria is a nationwide, popular ODR platform used for ecommerce disputes. However, given its success, several counties have turned to Modria to resolve tax disputes and appeals. As an independent platform, Modria has a four-stage process: (1) conflict diagnosis, (2) negotiation, (3) mediation, and (4) binding arbitration.
While the national CFPB online complaint center does not necessarily lead to actual resolution of disputes, the CFPB does allow for consumers to submit their claims in hopes that regulators can help facilitate a resolution or seek enforcement measures when a critical mass of claims have been launched against a particular company.
17 Michigan state courts and one in Ohio (Franklin County) have set up ODR options for various tickets. In some courts, Matterhorn can only be used for traffic tickets while others have ventured into misdemeanors and warrant resolution handled online.
Consumers file a complaint with the BBB. If a resolution is not reached, the BBB in Los Angeles and Silicon Valley have turned to ArbiClaims for resolving complaints against non-accredited businesses. Both the business and consumer must agree to the option of using ArbiClaims services. ArbiClaims costs between $79-$159 per party depending on the size of the business and the complaint. A decision is rendered in no more than three weeks.
This ABA Journal article highlights the use of Modria in tax disputes and appeals in both the United States and British Columbia.
The New Regulatory Framework for Consumer Dispute Resolution by Pablo Cortés (Editor)
ISBN: 978–0–19–876635–3
Publication Date: 2017-02-01
Consumer out-of-court redress in the European Union is experiencing a significant transformation; indeed the current changes are the most important that have occurred in the history of the EU. This is due to the recent implementation of the Alternative Dispute Resolution (ADR) Directive 2013/11/EU and the Online Dispute Resolution (ODR) Regulation (EU) 2013/524. The Directive ensures the availability of quality ADR schemes and sets information obligations on businesses, and the Regulation enables the resolution of consumer disputes through a pan European ODR platform. This book also discusses the rise of ODR in the public sector.
This ABA Journal article discusses Matterhorn. In particular, it discusses satisfaction rates with the technology noting more than 80 percent of those who used the system said they were likely to recommend it to a friend or family member. About 40 percent of those who took the survey said they would not have been able to appear in court without the online option.
The New Regulatory Framework for Consumer Dispute Resolution by