CEE LEGAL MATTERS The ADR Appeal in Moldova: A Buzz Interview with Natalia Balaban of Balaban & Partners
Moldova’s legal landscape is undergoing a period of gradual yet meaningful transformation, according to Balaban & Partners Managing Partner Natalia Balaban who reports an increased reliance on alternative dispute resolution, strides in digitalization, and a wave of legislative reforms tied to the country’s EU accession ambitions.
“One of the more positive developments we’re seeing is a noticeable increase in the use of arbitration and mediation,” Balaban begins. “This shift is likely a response to the lengthy duration of court proceedings. The broader court reform process has been slow and complex, so alternative dispute resolution mechanisms are proving to be a much-needed relief for both businesses and lawyers.” Another significant part of the reform process has been the “extensive vetting of magistrates and prosecutors,” Balaban adds. “While it aims to ensure transparency, independence, and integrity in the judiciary, it has also led to disruptions, with many judges leaving the system. This has placed additional strain on the courts and contributed to delays, making alternative dispute resolution even more essential.”
Moreover, Balaban reports that the courts’ “e-filing system is continuing to evolve, which is a good sign. However, we need greater support to promote its use. Technically, the system is functional, but there are still a few glitches that need resolving. More awareness and familiarity would help this tool reach its full potential,” she explains. As for the broader digitalization efforts, Balaban says that Moldova is making commendable strides. “Authorities are increasingly engaging with citizens through digital platforms, and the introduction of digital signatures has been particularly effective. That said, some issues remain, especially when dealing with cross-border digital signatures. For instance, even though Moldova recognizes EU digital signatures on paper, in practice, authorities sometimes refuse to accept them due to the lack of verification mechanisms, and that creates occasional roadblocks.”
Focusing on Moldova’s path to EU accession, Balaban says that it has had a significant impact on the legal landscape. “We’re seeing a whole wave of legislative reforms, some already enacted, others still under discussion or awaiting a vote. There are new laws or amendments proposed across multiple areas, from arbitration and mediation to insolvency. The public procurement legislation has undergone several revisions, including the introduction of a digital procurement system. A new law, currently in its final reading, is expected to be adopted soon, bringing the legal framework fully in line with European standards,” she says.
