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nabeelsheikh74
Community Member

Dispute Case

I submitted a dispute on 6 days ago and i done know why the dispute taking so much time

9 REPLIES 9
petra_r
Community Member


Muhammad R wrote:

I submitted a dispute on 6 days ago and i done know why the dispute taking so much time


It takes up to 30 days, and if no agreement between client and freelancer can be reached during dispute mediation, all parties can pay $291 each to take it to arbitration, where a binding decision could be made.

wlyonsatl
Community Member

Muhammad,

 

Just be sure to quickly do whatever the Upwork mediation specialist requires of you.

 

If the value of your dispute is below $2,410 it is unlikely Upwork will allow you to take this to arbitration, so mediation will be your only option.

 

Good luck!


Will L wrote:

Muhammad,

 

Just be sure to quickly do whatever the Upwork mediation specialist requires of you.

 

If the value of your dispute is below $2,410 it is unlikely Upwork will allow you to take this to arbitration, so mediation will be your only option.

 

Good luck!


OK, I'll bite. It has always made sense to me that UW likely finds a way to settle small disputes rather than invest the resources to pursue arbitration. I've never heard that officially confirmed (and wouldn't expect to) nor have I heard any specific threshold. So, I'm curious where you get the figure $2,410. 


Phyllis G wrote:

Will L wrote:

If the value of your dispute is below $2,410 it is unlikely Upwork will allow you to take this to arbitration.


 So, I'm curious where you get the figure $2,410. 


I know of many cases where arbitraton went ahead for far lower sums. 

 

Phyllis,

 

I won't copy your entire post here. I assume you know what you wrote.

 

To answer your question - what would Upwork's fee be on a freelancer's first-time project that involved total payments of $2,410 from the client to the freelancer?

 

Upwork needs to start showing profits to its shareholders. It makes no sense for Upwork to pay out more for abitration on a job than it stands to make in fees from that same job.


Will L wrote:

It makes no sense for Upwork to pay out more for abitration on a job than it stands to make in fees from that same job.


So, you think it makes more sense for Upwork to pay out the dispute amount to make the dispute go away than pay out $291 for arbitration?


I certainly see the sense of paying a sum that is less than the arbitration fee to avoid arbitration altogether. So, it makes sense to pay a sum lesser than the arbitration fee to avoid arbitration and make the whole thing go away.

It is, however, not in the interest of the shareholders for Upwork to pay out more than the arbitration fee to make both client and freelancer go away happy without the need for arbitration.

 

When mediation over escrow funds fails to find a solution that is agreeable to both client and freelancer, there are some options, such as

  • Both parties pay the arbitration fee, Upwork pays the arbitration fee, arbitration goes ahead.
  • One party pays the arbitration fee, the other doesn't, the dispute is over and the party who paid the arbitration fee gets the escrow funds
  • Neither party pays the arbitration fee, the dispute is over, the escrow funds go back to the client
  • Upwork step in and offer a courtesy credit to to the freelancer, the client gets the escrow funds back, which will make the dispute (and need for arbitation) go away. That makes sense for small amounts.
  • One party concedes the dispute or stops responding, the dispute is over and the party still engaged gets the escrow funds.

There is no such option of Upwork saying at the end of a dispute for less than some arbitrary sum (or $2410): "Actually, guys, never mind what our terms of service state very clearly, we'll just violate our own terms and won't "allow" you to go to arbitration. Here you go, client, have your money back. Sorry freelancer..."

 

I'm at a loss where that theory even comes from.

 

So, Petra, why are you telling us Upwork’s only choices are to either “pay out the dispute amount to make the dispute go away (or) pay out $291 for arbitration”?

 

Upwork is under no obligation to pay out any disputed amount to either freelancer or client on a fixed price project. That is a matter for the freelancer and client to deal with and Upwork generously offers to provide limited help with those negotiations, even to the extent of sometimes paying out limited amounts of money directly to client and/or freelancer or helping pay for arbitration in certain cases.

 

If you are at a loss to understand why Upwork doesn’t guaranty all fixed price project payments to freelancers in all circumstances, then you don’t understand Upwork’s business model. And not for the first time.


Will L wrote:

So, Petra, why are you telling us Upwork’s only choices are to either “pay out the dispute amount to make the dispute go away (or) pay out $291 for arbitration”?


I never said anthing of the sort.

 


Will L wrote:

That is a matter for the freelancer and client to deal with and Upwork generously offers to provide limited help with those negotiations


The right (!) to proceed to arbitration is part of escrow and part of Upwork's terms of service. Please let me know if you can't find the part that clearly states this, but I have shared this with you before when you made the same claim that Upwork don't "allow" parties to go to arbitration in cases under $2410. 

 


Will L wrote:

If you are at a loss to understand why Upwork doesn’t guaranty all fixed price project payments to freelancers in all circumstances.


I never said that I don't understand that. I understand that perfectly and never said anything to the contrary. Of course, that also isn't what I said. At all. As I clearly said: I don't understand where your repeated statement comes from that Upwork will not allow disputes to go to arbitration when the disputed amount is below $2410, especially when so many disputes for far less do go to arbitration.

But, Petra, I have not said, as you claim, "Upwork don't "allow" parties to go to arbitration in cases under $2410."

 

What I have said above is, "If the value of your dispute is below $2,410 it is unlikely Upwork will allow you to take this to arbitration, so mediation will be your only option."

 

Can you see the difference between "don't allow" and "is unlikely"?

 

I hope so, because I'll now allow you to have the last word on this.

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