What is ODR?

Online Dispute Resolution (ODR) uses technology to resolve disputes by utilizing processes such as mediation and arbitration. On SMART ODR, ODR comprises Pre-Conciliation, Conciliation, and Arbitration. These are defined below.

Pre-Conciliation: This is an initial stage where the Market Infrastructure Institution (MII) facilitates an amicable discussion between the investor and the intermediary / listed company / regulated entity (Market Participant). Resolving an issue in pre-conciliation ensures that formal proceedings are not initiated.

Conciliation: This is a more formal process where a conciliator (a neutral third party) works with the disputing parties to reach a mutually acceptable agreement. It's like a facilitated negotiation with the goal of finding a compromise that all parties can agree on.

Arbitration: This is a legal process where a dispute is resolved by one or more arbitrators (neutral third parties) whose decision (the arbitral award) is binding and enforceable. It's like having a private judge who makes a final decision on the dispute.