The Legality of ODR Arbitration under International and National Legal Instruments

Abstract

Online Dispute Resolution by Arbitration (ODR Arbitration) is arbitration where the online communication plays major part in the process of arbitration: from the beginning of arbitration to the end. It begins with the request of arbitration to the issuance of the award. Is this process legal according to (1) the existing international legal instruments, and (2) national legal instruments in particular Indonesia?
The method used in this article was the normative legal approach to the laws or regulations instruments both international and national legal instruments. The former included among others the 1996 UNCITRAL Model Law on Electronic Commerce, the 2017 UNCITRAL Technical Notes on Online Dispute Resolution. The national legal instrument covered the Arbitration Law No. 30 of 1999, Law No. 11 of 2008 on Electronic Information and Transaction; and BANI Arbitration Rules. The applied approach examined the practice of arbitration under BANI Arbitration Rules on Electronic means to resolve business disputes.
This article concluded that both international and national legal system, i.e., Indonesian legal system deem the ODR arbitration a valid and enforceable mechanism of resolution of commercial, as well consumer, disputes.