Whether virtual dispute resolution or AI are helpful in resolving financial disputes?
What is it?
The various ways that people can settle disagreements without going to court are referred to as alternative dispute resolution (ADR). typically consists of adjudication, arbitration, and mediation. The terms "non-litigation dispute resolution procedure" and "dispute resolution outside of court" might be used to describe it. It is becoming more crucial in the resolution of societal conflicts.
Virtual dispute resolution (VDR) is a process that uses ADR techniques and expertise to settle many online conflicts in the context of international e-commerce.AI judgments are also already being applied in real life in increasing numbers.
Related research and examples:
In the context of a construction accident case in Hong Kong, Rita et al. (2022) used the Facebook-developed system "fastText" to categorize legal papers pertaining to compensation. According to the findings, the system classified cases as successful or unsuccessful in receiving compensation 95,7% of the time. This demonstrates that fastText-based classification can successfully and accurately categorize articles.
Another court in India questioned ChatGPT, asking, "What is the jurisprudence for bail when an assailant commits a brutal attack?" In general, if an attacker is accused of a violent crime including serious beating or torture, they may be seen as a flight risk and a danger to the community. In such circumstances, the judge may be less willing to grant bail, or may set the bail at a very high amount."
After hearing ChatGPT's recommendation, the judge denied the defendant's request for bail. Because the judge also holds the view that: "While causing death is cruel in and of itself, the situation will change if cruelty results in death. The conditions of bail will also alter when severe personal attacks are committed.
(https://www.livemint.com/news/india/this-indian-court-has-used-chatgpt-on-a-criminal-case-11679977632552.html)
Another example: The Hong Kong Special Administrative Region's judiciary launched Hong Kong e-Court, an electronic court system, to increase judicial effectiveness and service standards. The system consists of a number of subsystems, including an electronic document management system, an online trial system, an online mediation system, etc. These subsystems can support a variety of links, including online case filing, online evidence submission, an online trial, and an online mediation. It should be highlighted that more research and development are still required to fully assess and improve the Hong Kong e-Court system's breadth of application and actual consequences. However, based on its actual implementation, the system appears to have produced certain desired outcomes and made a valuable contribution to the modernization and reform of Hong Kong's court system. investigation and citation.
Naturally, some people think that the method can increase court effectiveness and save litigation costs, but others have criticized it for lacking openness and impartiality, and they worry that it could result in algorithmic bias and difficulties with data privacy.
Rita et al.'s research findings from 2022 state that AI categorization can produce incredibly accurate outcomes. This can help organizations like law firms who go through a lot of records to find court cases that are pertinent. Furthermore, Choudhury and Asan (2020) noted that whereas normalizing data makes training data and machine learning input available to authorized users, AI trained on unstructured or biased data may produce false results.
Conclusion
virtual dispute resolution and artificial intelligence can help resolve financial disputes, provided underlying shortcomings are addressed. These technologies can simplify processes, reduce costs and improve access to dispute resolution services, but care must be taken to ensure fairness, privacy and security.