INTRODUCTION:
Dispute is a serious issue in the world we are in today. It's just inevitable and in our course of interaction with one another, we are bound to encounter dispute. And when one is cut up in a disputes between someone or an organization far away what is he/she expected to do? keep quiet and let it go? No! because Kleros is here to aid us and make sure our disputes are properly resolved without being biased in judgement.
WHAT THEN IS KLEROS ALL ABOUT?
The world is presently experiencing high rate of globalization and digitization. As we can see, a whole lot of transactions are being carried out online amongst persons across jurisdictional boundaries.
With this pace of growth, in not so distant time, most goods, labour and capital will be allocated through decentralized global platforms.
As human as we are, disputes will certainly arise. Users of decentralized system will claim that sellers of goods failed to send their goods as specified in their agreement.
Smart contracts are smart enough to automatically execute as programmed, but not to render subjective judgments or to include elements from outside the blockchain.
BRIGHT SIDES OF KLEROS:
- Kleros is not expensive unlike other dispute resolution process which are exhorbitant
- Kleros is not too expensive like other convectional process of adjudication
- Kleros is reliable for a decentralized global economy operating in real time.
- Kleros is very fast
- Kleros is not biased
Opting for Kleros is everything because, it is inexpensive, transparent, reliable and decentralized dispute resolution mechanism that renders ultimate judgments about the enforceability of smart contracts and is certified necessary for this blockchain era.
Kleros is highly automated in the sense that every step of the arbitration process is automated ie. from securing jurors and evidence. They deal with every kind of contract from simple contract to the complex ones. And also, it is an Ethereum autonomous Organisation that works as a decentralised third party to arbitrate dispute in every kind of contract.
KLEROS USE CASE
Ralia is a Nigerian based entrepreneur and then She hires Chris a South African web programmer on a Peer 2 Peer freelancing platform to build a new website for her company. After they have agreed on a price, terms and conditions, Chris started the job. After 6 weeks, he was done.
But Ralia is not satisfied with the job delivered by Chris with complaint that the web programmed was below the standard agreed. But Chris replied that He did exactly what he was told to do. Of course She can't hire an attorney for someone who is miles away.
After sometime, Chris starts paying deaf ears to Ralia's complaints by refusing to reply her e-mail messages, Ralia taps a button that says "Send to Kleros" and explained with her claim.
Somewhere in China, Jang is a software programmer on a train surfing through Kleros website to find some arbitration job. He makes a huge cash every year on the side of his primary job by serving as a juror in web programming & development. He usually rules cases in the Website Quality subcourt.
This court requires skills in html, javascript and web design to solve disputes between freelancers and their customers. Jang deposits 2 pinakion, the token used by Kleros to select jurors for disputes. And the more tokens he deposits, the more likely it is that he will be selected as juror.
About an hour later, an email hits Jang's inbox which says "you have been selected as a juror on a website
quality dispute. Download the evidence here You have 72 hours to submit your decision".
Same kind of mail are received by Damian, a programmer from Costa Rica who had also activated their pinakion for the dispute. They were all selected randomly from a pool of almost 3,000 applicants. They will never know each other, but they will collaborate to settle the dispute between Ralia and Chris.
Jang analyzes the evidence and votes who is right. Two days later, after the three juries must have voted, Ralia and Chris receives an email. The jury has ruled for Ralia.
The website was not delivered in accordance to the terms and conditions agreed by the parties. A smart contract has transferred the money to Ralia". Jurors are rewarded for their work and the case is closed.
INCENTIVE SYSTEM
Jurors rule disputes in order to collect arbitration fees. They are highly incentivized to rule honestly because, after a dispute is over, jurors whose vote is not coherent with the group will lose some tokens which will be given to coherent jurors.
Tokens are redistributed from jurors who must have voted incoherently to jurors who voted coherently. The party in the dispute that lost in the dispute pays the arbitration fee to the Jurors and the other party's deposits are refunded.
THIS CONTEST IS SPONSORED BY @ORIGINALWORKS
FOR MORE INFORMATION, CLICK ON THE LINKS BELOW
KLEROS WEBSITE:
KLEROS WHITEPAPER:
KLEROS2018