Problem with an unreasonable client - love to hear your opinions!

[bogdandjordjevic]

Hello everyone, this is my first addressing here regarding an issue with a client. I will be brief, but if you have any questions don't hesitate to ask 😉 Every oppinion is important to me.

I am a graphic designer and relatively new freelancer here on the platform. I had 6 successful jobs, clients that were satisfied with my work and 2 of them are returning. Got all 5-star reviews, but this is the first time I meet the situation like this.

So, here we go:
I applied for a fixed project to design a logo for a startup company dealing with natural cosmetics.  The fee was low in start but, however, I applied. My first mistake was that I wasn't specific what I will do for those 30 bucks (eg. 1 logo + 1 revision), instead I went further and provided three logos to the customer. Client was impressed and liked a lot the logos I sent, but asked me to change the company name. I said that it is not a problem and it will be done but which version should I modify? Instead, he sent me the next day his idea how the logo should like and provided an extra information about the company products which should've inspire me to make something more in accordance. I told him reasonably, that I invested about 30 hours in developing ideas, coceptualisation and realisation (my bad because I always tend to go an extra mile and to provide an extra value to the client), and when I get the net fee it is basically less than $1 per hour!

Furthermore, I told him that I have to invest more time, effort and creativity and proposed him a new price ($130 gross fee). He rejected my proposal and told me to finish this one on the existing terms and that we will make a new arrangement on a new project, but I was cautious not to be exploited for $24 bucks of net fee. Being flexible as I am and putting faith in good business practice which I emphasized all the time, I even lowered the proposed price but he replied nervously totally avoiding  principles of the good business communication telling he won't do it and that is a matter of the principle.  At last, I told him since he wasn't ready for the compromise to seek for a new designer. He canceled the contract and now is asking me to refund him money from the escrow ($30).

I contacted the Upwork Support for the oppinion and I got the answer "Since I did the job and provided him deliverables", not to refund him the money. If he doesn't agree then we will go the mediation. 

My questions are:

1) What should I do in this situation? To refund or not? To open a Dispute (which is most likely it will be)?
2) How to prevent JSS from cutting down?
3) What do you suggest me to do? To give up from the invested time and effort or to pursue for the fee as a compensation?
4) Have I had the right to change the price in a middle of the fixed-price Contract as a precaution from being expoited?

Thanks everyone who will take part in this topic.

Best regards to all,
Bogdan

[JoanneP]

Hi Bogdan,

I'm sorry to hear about how your contract with this client turned out. Regarding your questions, you do have the option to follow the advice given to you by our team on your ticket. In the future, it would be best to ask questions and make sure that you have all the information you need to work on the project. Discussing the job scope, including the price is crucial before you accept the contract. This is one of the ways you can prevent any misunderstandings. 

I checked your account, and it looks like you don't have a JSS yet, but please know that it covers public and private feedback, long-term contracts, and earnings so it is important to build a good working relationship with your client.