Success or Failure? - Effectiveness of Consumer ODR Platforms in Brazil and in the EU

24 Pages Posted: 19 Apr 2019 Last revised: 3 May 2019

See all articles by Maria José Schmidt-Kessen

Maria José Schmidt-Kessen

Copenhagen Business School - CBS Law

Rafaela Nogueira

FGV DIREITO RIO

Cantero Gamito Marta

European University Institute - Department of Law (LAW)

Date Written: April 19, 2019

Abstract

The European Commission launched a New Deal for Consumers in April 2018. This New Deal aims at giving consumers the tools to better enforce their rights and getting compensation. In this context, the Commission stresses the importance of strengthening Online Dispute Resolution (ODR), which should give consumers easy and fast access to solve their disputes with traders. This paper explores the effectiveness of out-of-court procedures, in particular in the form of online dispute resolution mechanisms, for consumer disputes. The paper examines the effectiveness of the EU ODR platform by comparing it to the Brazilian ODR platform Consumidor.gov.br. Focusing on the institutional and procedural design of the Brazilian ODR platform and the EU ODR platform, this paper highlights the factors and incentives that may contribute to increasing consumers’ trust and traders’ engagement in ODR procedures. In view of the findings, the paper provides some policy recommendations on how the potential of extrajudicial mechanisms can be exploited in order to close the gap in consumer enforcement. The paper relies on a large dataset from Consumidor.gov.br, consisting of more than 800,000 consumer complaints.

Keywords: ODR, consumer law, dispute resolution, EU, Brazil

Suggested Citation

Schmidt-Kessen, Maria José and Nogueira, Rafaela and Marta, Cantero Gamito, Success or Failure? - Effectiveness of Consumer ODR Platforms in Brazil and in the EU (April 19, 2019). Copenhagen Business School, CBS LAW Research Paper No. 19-17. Available at SSRN: https://ssrn.com/abstract=3374964 or http://dx.doi.org/10.2139/ssrn.3374964

Maria José Schmidt-Kessen (Contact Author)

Copenhagen Business School - CBS Law ( email )

Porcelaenshave 18B, 1
Frederiksberg 2000
Denmark

Rafaela Nogueira

FGV DIREITO RIO ( email )

Praia de Botafogo, 190
Rio de Janeiro, 22250-900
Brazil

HOME PAGE: http://https://direitorio.fgv.br/corpo-docente/rafaela-nogueira

Cantero Gamito Marta

European University Institute - Department of Law (LAW) ( email )

Via Bolognese 156 (Villa Salviati)
50-139 Firenze
ITALY

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