kleros is a decentralized app built on top of etherium that works as a decentralized 3rd part to arbitrate disputes in every kind of contract be it very simple or highly complex.

How does this work

_{Source: kleros.io}

As it is summerized by the above illustration from the official website of kleros, the users of Kleros will create a smart contract and choose Kleros as their adjudication protocol. Every part will send the relevant information or the criteria to be followed in a contrat.

So when a dispute araises, jurors based on the evidences from both side they will evaluate the dispute then cast their vote.

Uniqueness of kleros

Out there are other dispute arbitration ways but what makes Kleros unique is that it resolves disputes of every kind of contract in a fast, affordable, reliable and decentralized way.

Changes in business and individual disputes arbitration

Disputes in businesses or interpersonal are the things we are used to, but are we always satisfied with the arbitration? If you're satisfied, can you always afford it?

So these are the changes that Kleros is bringing, transparent court that is reliable, decentralized and affordable.
These are the changes everyone can wish to have in disputes resolution.

Some disputes to be resolved by Kleros

1. Arbitration in freelancing companies: These companies face a lot of disputes. For example you go on the freelancing website and you hire someone to make for you a logo, and that person is not skillful enough to make a logo of your choice as he claimed to be. So here Kleros will resolve such disputes.

2. E-commerce: If you have been buying or selling products online, you know the types of disputes I mean here. Kleros is a decentralized affordable solution for this problem.

3. Online gaming: Professional online gamers need professional jurors to solve the possible disputes, Kleros.

4. Decentralized social medias disputes: for example your comment on someone's post and your comment broke terms and conditions so Kleros can resolve this by reputation reduction after evidence evaluation.

Kleros as an affordable (inexpensive) justice

It is painful to to be a victim of a disputes and in addition paying a price for arbitration fee of a dispute that you have not caused.

Kleros will reduce a price in more than these ways to my point of view

1. By reimbursing arbitration fee to the person who won after jurors evidence evaluation.
2. Removal of other prices associated with disputes resolution like shipping back fee, transportation fee, and so on.
3. Etc..

Benefits for small business

It is usually hard for small businesses to employee lawyers or to pay court fees.

So while using Kleros, small businesses will profit the skillful jurors to resolve the disputes between them and their customers or among their customers at inexpensive price.

Benefits of Kleros to larger corporations

Larger corporations deal with a lot of disputes, many of the disputes are among their customers. Let's take an example of Ali express, buyers and sellers may have disputes that the company itself try hard to avoid, so many of these disputes can be resolved directly by Kleros (skillful jurors) without waiting so long.

So Kleros will save larger corporations' time that they waste in disputes resolution.

Does Kleros system insure fair dispute resolution.

YES!

Users have an economic interest in serving as jurors in Kleros: collecting the arbitration fee that every juror gets for his work. Candidates will self-select to serve as jurors using a token called pinakion (PNK)3.
The probability of being drawn as a juror for a specific dispute is proportional to the amount of
tokens a juror deposits. The higher the amount of tokens it deposits, the higher the probability that
it will be drawn as juror. Jurors that do not deposit pinakions do not have the chance of being drawn.
This prevents inactive jurors from being selected.
Pinakion play two key functions in Kleros design.
First, they protect the system against the sybil attack (12). If jurors were simply drawn randomly,
a malicious party could create a high number of addresses to be drawn a high number of times in each
dispute. By being drawn more times than all honest jurors, the malicious party would control the
system. Second, pinakion provides jurors the incentive to vote honestly4 by making incoherent jurors pay
part of their deposit to coherent ones.

Source: Kleros WhitePaper

Use cases?

1.

You're a seller and I am a buyer, I met the shoes you posted on your website telling that it is pure leather, red color and size #40. I placed my order then when delivered, I find that you sent semi-leather of black color.

Dispute arbitration:

If we would have created our contract and choose Kleros as our adjudication protocol, Immediately I'll raise a dispute and send relevant informations then skilled jurors in ecommerce subcourt avaluate evidences and cast their vote.
So if you're a looser you will pay as we agreed in a contract (as jurors voted among our option list) and pay arbitration fee.
In case you're not satisfied with the judgements, you can appeal and have the dispute ruled again.

2

Jeff bought a new Range Rover sport, he insured it in an X insurance company. They made an agreement to follow and chose Kleros as an adjudication protocol. So they sent contract text, option list among which jurors will vote in case of a dispute. So the insurer will have to put some security deposit for the insurees.

So when Jeff's Range Rover got an accident, the jurors will evaluate evidences and vote among submitted option list. If paying back the new Range Rover sport is voted as a solution then the sum will be deducted from insurer's security sum and sent to the insured (Jeff).

For more info and resources about Kleros, you can find Kleros on:

• Kleros Website
• Kleros WhitePaper
• Kleros Medium
• Kleros YouTube
• Kleros Telegram
• Kleros Twitter
• Kleros Github
• Kleros Forums

You can also join the contest, read the rules and regulations on this article

Link to my tweet

klerostwitter

kleros2018