Building Trust in E-commerce Through Online Dispute Resolution

Abstract

E-commerce is overshadowing face-to-face (F2F) transactions in business-to-consumer (B2C) commerce. This benefits consumers in providing more buying options, but may leave them with no remedies when purchases go awry. This chapter therefore discusses how online dispute resolution (ODR) systems may expand and equalize remedy systems in B2C exchanges. Part II of the chapter discusses the need for expanded ODR to provide consumers with access to remedies regarding online purchases. Part III explains how ODR systems are unfolding on international and domestic fronts in B2C exchanges. Part IV then highlights their strengths and weaknesses and proposes ideas for how ODR systems can be improved to offer consumers efficient and fair means for accessing e-commerce remedies. The chapter concludes with Part V, an invitation to continue the development of such ODR systems in an effort to foster revived corporate responsibility and empower all consumers regardless of their resources, power, or status.

Keywords: contracts, consumer protection, arbitration, dispute resolution, behavioral economics, law and society, discrimination, contract theory, remedies, e-contracts, sales, consumer contracts, e-Commerce, ADR, ODR, online dispute resolution, international law, UNCITRAL, international dispute resolution

JEL Classification: K12, K40, K41, K00, K29, K20, K30, K10, K39, P45, P46, O31