Latest Article

Alternative Conflict Resolution Methods in The Time of COVID-19

Courtesy/By: Eisha Singh | 2020-07-19 18:17     Views : 202

Introduction

The coronavirus pandemic has caused a huge hindrance to the judicial system, by delaying settlement of cases and putting an absolute stoppage on the growth of some legal disputes, due to lockdowns and other factors. It is hence essential to now review other mechanisms of Alternate Dispute Resolution within the light of the recent development of the concept of Online Dispute Resolution (ODR).

In the current situation of the pandemic and the economy, most businesses and individuals are anxious and stressed. To jumpstart an entire economy after a long period of lockdown is a huge task. It is safe to assume that the prolonged nationwide lockdown might have given rise to numerous disputes across the country, causing many economic disruptions.

To curb the spread of the virus, all courts and tribunals has been closed shut, which delayed the delivery of justice to companies and individuals alike. Although some important cases were heard by the Supreme Court as well as other courts and tribunals via video-conferencing, however, there were many lower courts which lacked the infrastructure and resources to keep up with such advancements. Therefore, an optimal way of dealing with conflicts in such situations is to not rely fully on the traditional system of litigation.

ADR in India

In India, the Civil Procedure Code (CPC) provides for various ADR mechanisms, that include arbitration, mediation, conciliation, judicial settlement, and judicial settlement through lok adalat (people's court). The processes of ADR are informal, and provide quick, interim solutions to parties to a dispute, there mitigating conflicts by large. Generally, arbitrators can broker an agreement between the parties in, on an average, 23 successive meetings. Compared to this, litigation takes at least several months, if not years, for the parties to come to any sort agreement. It is tedious and expensive.

In case of litigation, if time is on the claimant's side, a well thought out, well-crafted demand and a detailed legal analysis, the client may be able to avoid the prolonged stress of dispute elevation and may even be able to yield an early settlement. But this happens in rare cases, and only with exceptional legal help. Therefore, ADR is sought, with its most favouring elements being, less expenses, time-saving, and most importantly, being such a method of carrying out the resolution whilst following proper physical distancing norms and other governmental regulations during the time of the pandemic.

ODR and Legal Issues

The system of ODR started by trying to resolve issues via email. It further went on to incubate a proper online platform, or Online Dispute Resolution platform, which came to be known as the Centre of ADR Excellence. It was made by amalgamating the system of ADR  with technology. A conventional ODR meeting or conference can be held at a short notice, and with the agreement of both parties, an arbitrator is appointed, and time-stamped intimations are sent to the parties via email or SMS or WhatsApp. This system facilitates communication via video calls, and eliminates the need to come face-to-face for communication.

Its legality can be tested by looking at Section 29 of the Arbitration and Conciliation Act, 1996. It states that tribunal is not bound by the provisions of CrPC and IEA, and may decide upon the procedure to be followed in such proceedings. This makes online or live conduct well within the legal domain and no one can challenge such a proceeding merely on the grounds of being an online proceeding.

Further, arbitration institutions around the globe are also guided by the International Commercial Arbitration rules. They have also been adopted by the India Council of Arbitration. Under the rules, it is mandatory that Arbitration Tribunals  have the power to conduct proceedings via video-conferencing, telephone or any other such means of communication as they may deem fit. Through this, the concept of ADR reached another highly advanced and way more cost-effective method of ODR. While ODR delivers a quick, economical and effective solution to disputes, it also helps overcome jurisdictional issues, eliminates geographical barriers, promotes eco-friendly processes, automates administrative tasks and even improves the productivity and efficiency of professionals.

Conclusion

The pandemic has caused a great deal of stress not only to the people but to the economy as a whole. But, unconventional circumstances warrant unconventional solutions. RBI has been endorsing new ways of dispute resolution supported by the Supreme Court, and has therefore provided for certain testing grounds for modern technologies in courtrooms. It is necessary that such implementations are done in the judicial system, so that we can do away with the Supreme Court's requirement of "Urgent Only" tag for use of video conferencing and delve into full swing application of the same. The COVID-19 crisis has made the archaic industry of law to adopt technology at an ever-increasing pace, and has paved the way forward into more such developments in the industry.

Courtesy/By: Eisha Singh | 2020-07-19 18:17