Disputes arising between clients and Stock brokers are closely monitored by Regulators to arrive at fair resolutions and there are mechanisms currently available for it. The existing dispute resolution mechanism is now expanded by establishing a common Online Dispute Resolution Portal (ODR) for online conciliation and online arbitration for resolution of disputes.

Key Points of the ODR

• Disputes between Clients and Stockbrokers will be resolved online conciliation and/or online arbitration.
• Clients & Stockbrokers can file unresolved issue of any service requests / service related complaints for due resolution.
• Service-related complaints shall include non-receipt/ delay of account statement, non-receipt/ delay of bills, closure of account/branch, technological issues, shifting/closure of branch without intimation, improper service by staff, freezing of account, alleged debit in trading account, contact person not available, demat account transferred without permission etc.
• In order to avoid conflict of interest, in case of a complaint/dispute involving a MII or its holding or subsidiary or associate company, the same will not be allocated to that MII and the ODR Institution empanelled by such MII or to the direct competitor of such MII and the ODR Institution empanelled by such MII
• Online Resolution portal can be accessed here 

Dispute Resolution Process:

• Investors/clients should first approach the concerned Market Participant with their grievance.
• If not satisfied, they can escalate the grievance through the SCORES Portal following its guidelines.
• If the grievance remains unresolved after exhausting available options, they can initiate dispute resolution through the ODR Portal.
• Alternatively, investors/clients can directly initiate dispute resolution through the ODR Portal if the grievance wasn't satisfactorily resolved or at any stage of the escalation as mentioned above
• Stock Brokers can also initiate dispute resolution through the ODR Portal after providing 15 days' notice to the investor/client if the dispute remains unresolved.
• Dispute resolution through the ODR Portal is permissible when the complaint/dispute is not under consideration in previous stages or SCORES guidelines, not pending in arbitration, court, tribunal, or consumer forum, and is arbitrable under Indian law.

• The ODR Portal will have features to enrol participants, file complaints/disputes, upload documents, provide status updates
• Complaint on the ODR Portal goes to an ODR Institution chosen by an MII.
• Fair allocation among ODR Institutions, starting with specific entities.
• MII reviews the situation in 21 days for a friendly solution before ODR Institution gets involved.

The detailed process of Conciliation, Arbitration and fees are mentioned in the circular.