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Electronic commerce and initiatives undertaken with respect to online dispute resolution A. Technology and its impact on business-to-business and business-to-consumer transactions 8. (...) The view was expressed at the Colloquium that future expansion of business- to-business and business-to-consumer electronic commerce would depend in large part on the level of confidence of users when making online transactions.22 Participants to the Colloquium shared the view that an online redress system for high volume low value claims was essential to the continued success and growth of both business-to-business and business-to-consumer electronic commerce. (...) While the application of online dispute resolution is not limited to disputes arising out of business-to-business and business-to-consumer online transactions, it developed in that context as it is logical to use the same medium (the Internet) for the resolution of e-commerce disputes.

A business-to-consumer transaction requires the online presence of a trader to sell online and accept online orders. (...) For example, France has recently recognized the right of consumers to recover the information held by online communications services businesses (Law No. 2016-1321). 33. (...) For example, the United States business association Better Business Bureau provides alternative dispute resolution and/or online dispute resolution for consumer complaints in the automotive, telecommunications and moving and storage sectors. 40.

According to the UNCTAD business-to-consumer e-commerce index, which measures the readiness of 154 economies to support online shopping, there was an increase of 12 per cent in online consumers between 2016 and 2017. (...) Consumer protection concerns in the digital economy involve misleading and unfair business practices related to online advertising and information provision, as well as to consumer empowerment, business guidance and dispute resolution and redress. (...) The features of the new business models of online platforms and the way such businesses operate have changed many basic concepts in competition law, and competition legislation has needed to adapt to the new business models.

Electronic Business Government and Trade will accomplish its objective by providing UN/CEFACT with eighteen months of focused support involving four primary activities: (a) Online standards; (b) Capacity-building; (c) Communication; (d) Gap analysis. (...) The Online Standard Showcase (OSS) will demonstrate how the various technology components fit together in a commonly recognized business context: the Buy-Ship-Pay model. (...) The project will have a phased implementation. The Online Standards Registry (OSR) will contain coherent reference libraries that include reference data models for specific sectors, business requirements, information objects, and code lists.

Preparation of legal standards on online dispute resolution. 5. Other business. 6. (...) Preparation of legal standards on online dispute resolution (a) Previous deliberations 5. (...) Further, at that session, the Commission agreed that a Working Group should be established to undertake work in the field of online dispute resolution relating to cross-border electronic commerce transactions, including business-to-business and business-to-consumer transactions.9 It was also agreed that the form of the legal standard to be prepared should be decided after further discussion of the topic. 12.

Preparation of legal standards on online dispute resolution. 5. Adoption of the report. (...) E.99.V.4. 4 V.11-80969 A/CN.9/WG.III/WP.106 legal recourse did not offer an adequate solution for cross-border electronic commerce disputes, and that the solution — providing a quick resolution and enforcement of disputes across borders — might reside in a global online dispute resolution system for small value, high-volume business-to-business and business- to-consumer disputes. (...) Further, at that session, the Commission agreed that a Working Group should be established to undertake work in the field of online dispute resolution relating to cross-border electronic commerce transactions, including business-to-business and business-to-consumer transactions.10 It was also agreed that the form of the legal standard to be prepared should be decided after further discussion of the topic. 12.

Preparation of legal standards on online dispute resolution. 5. Adoption of the report. (...) Preparation of legal standards on online dispute resolution (a) Previous deliberations 5. (...) Further, at that session, the Commission agreed that a Working Group should be established to undertake work in the field of online dispute resolution relating to cross-border electronic commerce transactions, including business-to-business and business-to-consumer transactions.9 It was also agreed that the form of the legal standard to be prepared should be decided after further discussion of the topic. 12.

UNCITRAL’s mandate In 2010, UNCITRAL entrusted its Working Group III with developing a legal standard on Online Dispute Resolution (“ODR”) for cross-border electronic commerce transactions, including business-to-business and business-to-consumer transactions.1 Working Group III has since discussed drafts of Rules for an ODR process for cross-border low-value, high-volume electronic commerce transactions (the “ODR Rules”). (...) While in offline transactions the vendor usually knows whether the transaction is a business-to- business or a business-to-consumer transaction, in online transactions the online vendor simply puts his terms and conditions on his website and those terms and conditions get agreed by the buyer ticking the relevant box — no matter the category the buyer falls into (business or consumer).3 __________________ 1 Report of the 43rd session of the UNCITRAL Commission (2010), A/65/17, para. 257, confirmed by Report of the 44th session of the UNCITRAL Commission (2011), A/66/17, para. 218 and Report of the 45th session of the UNCITRAL Commission (2012), A/67/17, para. 79. 2 See Report of the 25th session of Working Group III (New York, May 2012), A/CN.9/744, para. 16. 3 This means that, in online transactions, even if the terms and conditions stipulated that they only apply when the buyer is a business (business-to-business transaction), in fact they would also be agreed upon when the buyer is a consumer — unless there was a mechanism in place that would allow the online vendor’s website to categorize the buyer (as being a business or a consumer). (...) As the ODR clause is offered on the online merchant’s website and agreed when the buyer ticks the “I agree” box, the mechanism needs to bite exactly here, i.e. on the online merchant’s website. 8 V.13-83639 A/CN.9/WG.III/WP.121 The Mechanisms described at (2) above would allow the online merchant’s website to identify if the buyer is from a Group I State or a Group II State and — in the event that the buyer was from a Group II State — if the buyer is qualified as a business or as a consumer.

Preparation of legal standards on online dispute resolution. 5. Other business. 6. (...) Preparation of legal standards on online dispute resolution (a) Previous deliberations 5. (...) Further, at that session, the Commission agreed that a Working Group should be established to undertake work in the field of online dispute resolution relating to cross-border electronic commerce transactions, including business-to-business and business-to-consumer transactions.9 It was also agreed that the form of the legal standard to be prepared should be decided after further discussion of the topic. 12.

Employing a range of systems and technologies, while also pursuing a range of business models, online platforms not only create new trading opportunities, but also new ways of trading. (...) According to latest estimates, the value of global business-to-business (B2B) e-commerce was $21 trillion, representing 83 per cent of all e-commerce. 2 While that figure covers not only sales through online platforms but also sales via electronic data interchange transactions, other reports suggest that online platforms account for a significant proportion of B2B e-commerce. (...) The platform operator will ordinarily be a legal person providing the online service in the course of business. An online platform may also be established or controlled by a public authority.