When to submit for payment with a physical product

[ajalper]

I am working on a portrait painting for a client. When do I submit for payment? When the painting is approved, or after they have received the physical painting? Thanks.

[data_divas]

I would say it should be paid for before you ship it.

[ajalper]

Thanks Julie,
What guarantee does the client have if the painting never shows up? Can they get a full refund after approving the work?

[gilbert-phyllis]

You need to negotiate that with your client and ideally, should have nailed down those particulars before starting work. 

[ajalper]

It is clear in the contract that when the work is approved the client would release payment. The problem is that negates the escrow. The client still does not have work in hand. What recourse do they have if the work fails to arrive? Since I am unfamiliar with Upwork, does the client have the ability to claw back payment after approval if the work is not received?

[prestonhunter · Accepted solution]

The client has the ability to request a refund whether or not the work arrives.

The client could spill coffee on his white shag carpet and blame you and could ask for a refund.

The client can simply make up a crazy story about you being a werewolf and ask for a refund.

If the client asks for a refund, then you can decline to give the client a refund.

If that happens, then the matter goes to dispute.

If the dispute doesn't resolve the issue, then the next step is arbitration. Which would cost you $291. Non-refundable.

This is how all fixed-price contracts work. Has nothing to do with shipping.