Excerpt from Lizhi Liu’s new book, “From Click to Boom”: “When disputes occur, Taobao encourages buyers and sellers to negotiate with each other first. If the feuding parties cannot reach an agreement and do not want to go to court, they can use one of Taobao’s two judicial channels: asking a Taobao employee to adjudicate or using an online jury panel to arbitrate. This section discusses the second channel, a unique Chinese institutional innovation.
Alibaba’s Public Jury was established in 2012 to crowdsource justice. It uses a Western-style jury-voting mechanism to solve online disputes and controversial issues. These jurors are termed “public assessors” by Taobao. Interestingly, the name “public assessor” was drawn from the Chinese talent show “Super Girl” (similar to “American Idol”), which, after the authority shut down its mass voting system, transitioned to using a small panel of audience representatives (or “public assessors”) to vote for the show’s winner. The public jury was widely used by the main Taobao site by 2020 and is now frequently used by Xianyu, Taobao’s used-goods market.
Why did Taobao introduce the jury system? Certainly, as Taobao expanded, the volume of online disputes surged, posing challenges for the platform to handle all disputes by itself. However, according to a former platform employee responsible for designing this institution, the primary motivation was not the caseload. Instead, it was propelled by the complexity of online disputes that proved challenging for the platform to resolve alone. Consequently, they opted to involve users in adjudicating these cases to ensure a fairer process rather than solely relying on platform intervention.
To form a jury, Taobao randomly chooses each panel of 13 jurors from 4 million volunteer candidates; each juror may participate in up to 40 cases per day. The candidate needs to be an experienced Taobao user (i.e., those who have registered for more than a year) with a good online reputation (i.e., those who have a sufficiently high credit rating, as discussed below). This requirement is high enough to prevent most dishonest traders from manipulating votes, but low enough to be inclusive and keep the juror pool large. These jurors are unpaid yet motivated to participate. They gain experience points that can translate into different virtual titles or that can be donated to charity by Taobao as real money…(More)”