ODR in Large Bankruptcies

Maarten van Buuren on the Leiden Law Blog:

“Such an ODR tool might also be very useful in ‘closed’ situations such as large bankruptcies: through the use of blockchain technology, the receivers in the bankruptcy might come up with a relatively simple solution and use ODR to resolve straightforward disputes with customers through an online arbitration process. Many disputes could be dealt with this way in a relatively short period of time, which could also be useful in easing emotions. Enforcement could be guaranteed through an escrow account of the receivers or a third-party guarantee, such as the ‘Stichting Garantiefonds Reisgelden’ in the Netherlands which guarantees certain elements of purchased travel arrangements. As the outcome of disputes can be shown on the Blockchain, that as such could create ‘jurisprudence’ which might limit upcoming proceedings and could be helpful in future settlements.”

(h/t Mike Dennis)