Mediator’s Diary: How artificial intelligence can serve alternative dispute resolution

There is more and more talk about the use of artificial intelligence (AI) in our daily work. There is hardly an active Internet user who has not entered into a dialogue with ChatGPT or Bing. Searching for the best image for a presentation, advertisement or web design through MidJourney is now almost a must.

We mediators and conciliators cannot help but ask ourselves the question, in what way the increasing presence of AI would affect our work. Some colleagues argue that it has no business resolving disputes between humans, that it is a human priority and a dispute will never be adequately resolved by a machine.

But this is a one-sided perception of the possibilities that AI offers. If you ask any of the aforementioned softwares if they can resolve disputes, they will tell you that they are not mediators or conciliators and cannot do this work which is a human priority.

However, AI can be extremely useful in alternative dispute resolution (ADR) for consumers in several ways, improving the efficiency, fairness and accessibility of the process.

Online Dispute Resolution (ODR) Platforms

AI-powered ODR platforms can facilitate the resolution of consumer disputes through online channels. These platforms can provide consumers with user-friendly interfaces to submit their Complaints, access relevant information, and engage in negotiations or mediation with businesses. AI algorithms can assist in matching cases with suitable mediators or automated resolution tools.


Chatbots and Virtual Assistants

AI-driven chatbots and virtual assistants can provide consumers with instant access to information and guidance regarding their disputes. They can help consumers understand their rights, navigate the ADR process, and gather necessary documentation. Chatbots can also offer basic dispute resolution steps, such as negotiation templates or initial settlement offers.


Data Analysis and Predictive Analytics

AI can analyze large datasets of past consumer disputes and resolutions to identify trends and patterns. This can help ADR providers and regulators understand common issues and develop more effective strategies for resolution. Predictive analytics can also estimate the likely outcomes of specific disputes, allowing parties to make more informed decisions.


Automated Mediation and Negotiation

AI-powered systems can facilitate mediation and negotiation by suggesting possible resolutions based on past cases and relevant laws. These systems can guide consumers and businesses through the negotiation process, helping them find mutually agreeable solutions. Additionally, AI can assist in evaluating the fairness of proposed settlements.


Document Review and Analysis

AI can review and analyze documents relevant to a dispute, such as contracts, emails, and invoices. This can help identify key pieces of evidence and discrepancies, streamlining the fact-finding process and ensuring that all relevant information is considered during the resolution process.


Natural Language Processing (NLP)

NLP technologies enable AI systems to understand and process human language. In ADR, NLP can be used to analyze the language used in consumer complaints, responses from businesses, and communication during negotiations. It can help identify emotionally charged language, potential miscommunications, or legal issues.


Access to Legal Information

AI can provide consumers with easy access to legal information and resources, explaining complex legal concepts in plain language. This empowers consumers to make informed decisions during the ADR process and understand their rights and obligations.


Dispute Triage

AI can help categorize disputes based on their complexity and urgency. Less complex cases may be resolved quickly through automated processes, while more complex cases can be routed to human mediators or arbitrators. This ensures that resources are allocated efficiently.


Feedback and Improvement

AI can collect feedback from consumers and businesses about their ADR experiences. This feedback can be used to continuously improve the ADR process, making it more user-friendly and effective.


Cost Reduction

AI-driven ADR can potentially reduce the cost of dispute resolution for consumers by automating routine tasks, minimizing the need for legal representation, and speeding up the resolution process.


While AI offers numerous advantages in consumer ADR, it's essential to ensure that its use is transparent, fair, and compliant with legal and ethical standards. Additionally, human oversight and intervention should be available when necessary to address unique and complex situations.

You can read more about ADR in our Madiator’s Diary Category in our NEWS page.

Published on 17.10.2023 Back to news