Use Of Online Dispute Resolution (ODR) And Virtual Hearings In Nigerian Arbitration Post COVID-19

The COVID-19 pandemic brought unprecedented disruptions to various sectors, including the legal and arbitration fields. Traditional methods of dispute resolution, which often involve in-person hearings and physical document submissions, were brought to a halt due to the global lockdown, travel restrictions, and health concerns. This led to the rapid adoption of online dispute resolution (ODR) and virtual hearings in Nigeria.

This article will explore the use of ODR and virtual hearings in Nigerian arbitration in the post-COVID era. It will examine the benefits, challenges, and long-term implications of these technological advancements. The shift towards virtual platforms has not only ensured the continuity of arbitration processes but has also presented opportunities for enhanced efficiency, accessibility, and cost-effectiveness.

USE OF ONLINE DISPUTE RESOLUTION (ODR) AND VIRTUAL HEARING IN NIGERIAN ARBITRATION DURING AND POST COVID-19 PANDEMIC

In order to know what 'is', it is important to know what 'was'. The COVID-19 pandemic brought about a global lockdown, and this brought a lot of activities to a halt, from businesses to schools, transportation, and the like.

However, as the lockdown prolonged, various industries began to adapt to the times and gave room for online continuity, and as such, Nigeria, like every other country, encountered a shift towards virtual hearings (particularly the National Industrial Court of Nigeria) and online dispute resolution. This was driven by the need maintain and possibly improve access to justice while adhering to public health guidelines and restrictions on physical gatherings

Following the COVID-19 pandemic, the use of online dispute resolution and virtual hearings in Nigeria has evolved significantly, as it continues to have relevance.[1] While initially being a response to the crises, its adoption signals a shift in the legal landscape of Nigeria. There was wide acceptance of this new method, and thus, it has become the norm.

ADVANTAGES OF ONLINE DISPUTE RESOLUTION (ODR) AND VIRTUAL HEARINGS IN NIGERIAN ARBITRATION

Accessibility: ODR and virtual hearings remove geographical barriers, allowing parties from different locations to participate in the dispute resolution process. This is particularly beneficial in a country like Nigeria, where access to physical courtrooms can be challenging due to distance, transportation costs, and infrastructure limitations. Parties can participate from the comfort of their homes or offices, saving time and money.²

Cost-Effectiveness: ODR and virtual hearings significantly reduce the costs associated with traditional dispute resolution methods. Parties save on travel expenses, accommodation, and other related costs.³ Additionally, the process is often faster, leading to reduced legal fees and administrative costs. This makes dispute resolution more accessible and affordable for individuals and businesses alike.

Efficiency and Speed: ODR platforms and virtual hearings can streamline the dispute resolution process. Scheduling is often more flexible, and cases can be resolved more quickly than in traditional court settings. Online platforms can facilitate the exchange of documents, evidence, and communication between parties, reducing delays and accelerating the resolution timeline.⁴

Enhanced Participation and Engagement: ODR and virtual hearings can increase participation and engagement in the dispute resolution process. Parties may feel more comfortable and empowered to express their views in a virtual environment. The use of technology, such as video conferencing and online collaboration tools, can enhance communication and understanding between parties, leading to more effective resolutions.⁵

Specialization and Expertise: ODR platforms and virtual hearings can provide access to specialized mediators, arbitrators, and legal experts who may not be readily available locally. This allows parties to benefit from the expertise of professionals with specific knowledge relevant to their dispute, leading to more informed and effective resolutions.

Reduced Environmental Impact: By reducing the need for physical travel, ODR and virtual hearings contribute to a lower carbon footprint. This is especially relevant in today's world, where environmental sustainability is a growing concern. The shift to online dispute resolution helps minimize the environmental impact associated with traditional court proceedings.

CHALLENGES AND LIMITATIONS OF ONLINE DISPUTE RESOLUTION (ODR) AND VIRTUAL HEARINGS IN NIGERIAN ARBITRATION

Despite the advantages, ODR and virtual hearings in Nigeria face significant challenges. Ensuring that virtual proceedings meet the requirements for enforceability under Nigerian law is crucial for the effectiveness of ODR. Some of these will be discussed below

Technological Barriers: A significant challenge is the digital divide. Unequal access to reliable internet connectivity, computers, and digital literacy can exclude individuals and businesses from participating effectively in ODR.⁶ This can create disparities in access to justice, particularly in areas with poor infrastructure or among certain demographics.

Lack of Interpersonal Interaction: The absence of face-to-face interactions can hinder the development of trust and rapport between parties, mediators, and arbitrators. Non-verbal cues, which are crucial in understanding and resolving conflicts, may be missed or misinterpreted in a virtual setting.⁷ This can make it more difficult to build consensus and reach mutually agreeable solutions.

Data Security and Privacy Concerns: ODR platforms and virtual hearings involve the exchange of sensitive information, raising concerns about data security and privacy. Ensuring the confidentiality of communications, protecting against cyber threats, and complying with data protection regulations are critical challenges that require robust security measures and protocols.⁸

Enforceability of Agreements: The enforceability of agreements reached through ODR can be a challenge. Jurisdictional issues, the need for cross-border enforcement, and varying legal frameworks can complicate the process of ensuring that agreed-upon resolutions are legally binding and can be effectively enforced. This is a problem faced with both physical and digital means of dispute resolution.

Procedural Fairness and Due Process: Ensuring procedural fairness and due process in ODR is essential. Challenges include verifying the identity of participants, preventing fraud and manipulation, and ensuring that all parties have equal access to information and the ability to present their case effectively.

Resistance to Change and Adoption: Overcoming resistance to change and encouraging the adoption of ODR and virtual hearings can be difficult. Traditional legal professionals and parties may be hesitant to embrace new technologies and processes, requiring education, training, and a demonstration of the benefits of ODR to foster wider acceptance.

RECOMMENDATIONS FOR ENHANCING ONLINE DISPUTE RESOLUTION (ODR) AND VIRTUAL HEARINGS IN NIGERIAN ARBITRATION

To maximize the benefits of ODR and virtual hearings, several recommendations should be considered. First, there is a need for investment in digital infrastructure and capacity building. This includes providing access to reliable internet, training arbitrators and parties on the use of virtual platforms, and promoting digital literacy. Second, robust data protection measures and cybersecurity protocols must be implemented to safeguard the integrity and confidentiality of proceedings. Third, legislative and regulatory frameworks should be updated to specifically address ODR and virtual hearings, clarifying issues such as the admissibility of electronic evidence and the enforcement of virtual arbitral awards.

CONCLUSION

In conclusion, the integration of ODR and virtual hearings into Nigerian arbitration represents a significant evolution in dispute resolution. While the transition has been accelerated by the COVID-19 pandemic, the advantages of accessibility, cost-effectiveness, and efficiency are undeniable. Thus, addressing the challenges related to the digital divide, data privacy, and enforcement is crucial for the long-term success of ODR in Nigeria. By investing in digital infrastructure, strengthening data protection, and updating legal frameworks, Nigeria can harness the full potential of ODR to provide a more accessible, efficient, and cost-effective means of resolving disputes. This will ultimately contribute to a more robust and responsive legal system, fostering economic growth and promoting the rule of law.

Footnotes

1. https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://viamediationcentre.org/readnews/MTcxNA%3D%3D/The-Rise-of-Online-Dispute-Resolution-Transforming-Arbitration-and-Mediation&ved=2ahUKEwi40uCJh8SQAxVUdUEAHYFPF2UQFnoECCwQAQ&usg=AOvVaw1lBo43t6uZbUDt1b4SPvD2 ( Accessed 24^th October, 2025)

2. https://viamediationcentre.org/readnews/NDg4/ADVANTAGES-OF-Online-Dispute-Resolution-ODR (Accessed 24th October, 2025)

3. Ibid 2

4. Ibid 2

5. https://blog.nicarb.org/index.php/2022/02/01/the-benefits-of-online-alternative-dispute-resolution-in-contemporary-nigeria/ (Accessed 24^th October, 2025)

6. https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://ezenwaohaetorc.org/journals/index.php/AJLHR/article/viewFile/2527/2601&ved=2ahUKEwiqwv7mkcSQAxVtl2oFHR_4M10QFnoECBoQAQ&usg=AOvVaw0pMNdP8h5fj0WyJD-AA-3s (Accessed 25^th October, 2025)

7. https://viamediationcentre.org/readnews/MTA2Nw==/Strengths-and-Challenges-in-Online-Dispute-Resolution-System (Accessed 24th October, 2025)

8. https://www.ipandlegalfilings.com/online-dispute-resolution-and-privacy-concerns/ (Accessed 24^th October, 2025)

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