Micro, Small, and Medium Enterprises (MSMEs) are considered the backbone of India’s economic growth. They contribute nearly a third of the country’s gross value added and employ over 260 million people—a significant number! However, despite their critical role in the national economy, MSMEs face persistent challenges in the form of business disputes. 

As of 2025, over 2.39 lakh disputes related to delayed payment have been filed by MSMEs on the government’s Samadhaan portal. These disputes claimed an estimate of ₹28,398 crore; however, only about ₹8,740 crore has been settled so far. It shows thousands of cases are still pending, and councils are overburdened.

When it comes to the backlog, nearly 50-70% of cases remain unresolved in facilitation councils. It leaves MSMEs waiting months or even years for justice. This situation is really daunting, especially for small businesses that operate on thin margins, where a single delayed payment can compromise sustainability.

According to the current system, filing complaints has been digitized, yet physical presence is required for hearings. Above all, no support is being provided for end-to-end online dispute resolution. Most MSMEs find it difficult to access timely justice and are particularly located far from state capitals (where most facilitation councils are based). Sometimes, even after disputes are resolved, arbitral awards get challenged in courts, further leading to justice delays and adding up to legal costs.

This is the reason why most MSMEs hesitate to pursue formal legal action. They either have to absorb losses and move on rather than risking business disruption. This indicates a considerable gap between legislation and enforcement, which has created a pressing need for a faster, and more accessible alternative. This is where ODR for MSMEs has come into the picture!

Let’s Understand Online Dispute Resolution (ODR): 

Online Dispute Resolution (ODR) is basically a digital approach to resolving disputes outside of traditional courtrooms. It combines already-established methods like negotiation, mediation, and arbitration. However, the only difference is — ODR is a technology enabled platform. It makes the entire process of dispute resolution faster, easier, and cost-effective.

For every MSME who is struggling with legal hurdles, ODR is bringing practical solutions aligned with their need for speed, simplicity, and affordability.

Why ODR Makes Sense for MSMEs

1. Faster Resolution Times
   

Traditional legal processes usually take years, while ODR platforms like Jupitice can resolve disputes in as little as 30 days. Thus, MSMEs that cannot afford to be entangled in prolonged litigation processes, ODR brings to you a much needed sigh of relief!

2. Cost-Effective JusticeNow, you can skip the need for expensive legal representation and travel as ODR has completely eliminated these steps. Justice has become affordable for small businesses with platforms like Jupitice that offer predictable, lower-cost solutions for small businesses.
3. End-to-End Digital Convenience
   

ODR for MSMEs provide end-to-end solutions; from filing the case to final decision enforcement, now everything can be handled online. This is especially helpful for MSMEs located in remote areas who cannot appear for in-person hearings, easily.

4. Confidential and Secure
   

ODR platform handles disputes in a secure digital environment. Your business’s reputation is protected as there is no need for public hearings or media exposure.

5. Legally Binding Outcomes
   
   MSME dispute resolution via ODR  gives MSMEs the confidence that their rights are protected as ODR arbitration outcomes are legally binding and enforceable, just like court judgments.
   

Let’s Talk About Jupitice: India’s First Private Digital Court for MSMEs

Jupitice offers an advanced ODR platform for MSMEs personalised to meet their unique needs. The platform is designed in a way that it not only reduces friction, but also saves time, eliminating unnecessary legal complexity to get justice.

Key Features of the Jupitice ODR Platform

100% Online Dispute Resolution Workflow:  MSME’s can file, track, negotiate, mediate, or arbitrate. And, it all can be done on one digital dashboard.

Rooted in International Standards: Built on UNCITRAL frameworks; Jupitice ODR for MSMEs is ISO and CMMI certified.

Tech-Enabled Efficiency: MSME dispute resolution has become more efficient and seamless with Jupitice ODR platform as it is empowered by AI, blockchain, and no-code tools. It ensures complete transparency, traceability, and speed.

Multilingual and Rural-Friendly: MSMEs across all geographies can access justice using features like chat-based communication and video hearings.

Decision in 30 Days: Most cases are resolved within 90 days, making it one of the fastest routes to justice. In simple words, consider ODR the best option for fast dispute resolution for small businesses.

Let us now talk about the real impact of ODR.

What ODR Can Mean for MSMEs?

Let’s take a real-world scenario. A small textile supplier from Punjab has been waiting over six months for a payment from a wholesaler. Instead of giving up or getting caught in a lengthy court process(traditional courts), the supplier files a case through the Jupitice ODR platform. A neutral mediator steps in, and within weeks, both parties reach a fair settlement. There was no need to shut shop, travel for hearings(no physical visits were required), or incur hefty legal expenses.

With ODR, MSMEs Can:

• Resolve payment delays quickly
• Settle vendor disputes without burning bridges
  
• Avoid the cost of traditional litigation
• Maintain operational continuity

Take Away

Unresolved disputes simply slow down the entire nation’s growth. In a business environment, where time, trust, and cash flow are critical, MSMEs cannot afford to be  stuck in traditional legal systems that are mostly slow, costly, and complex.

Although current dispute resolution mechanisms are partially digitized, they still lack accessibility and efficiency. But with Jupitice’s ODR platform, MSMEs can now get quick, fair, and cost-effective justice. It means no need to travel, visit courts, or wait years to seek justice.

Therefore, we can say that ODR for MSMEs is not just a convenience; it’s a strategic necessity for fast dispute resolution for small businesses. In a nutshell, it is fully digital, legally accepted, and built to serve the real needs of small businesses. 

We can also say, Jupitice is not just solving disputes — it’s restoring our faith in justice. The more accessible and effective the system becomes, the more people will believe justice is possible for all.

“Justice is no longer a privilege. With ODR, it’s a practical reality.”

If you’re an MSME looking for a smarter way to resolve disputes, now is the time to explore ODR and secure your business’s future.

“Don’t let unresolved disputes stall your business.”