Understand dispute options for Direct Contracts, including when disputes apply, how fixed-price issues are handled, and how hourly dispute responses work
In this article
- Can disputes be filed on freelancer-initiated Direct Contracts?
- How do disputes work for fixed-price Direct Contracts?
- How do disputes work for hourly Direct Contracts?
Can disputes be filed on freelancer-initiated Direct Contracts?
Yes, disputes can still occur in the same ways that they do for other Marketplace contracts.
Since you already know these clients, the process usually goes smoothly. However, we understand that issues still may occur. That’s why we provide certain dispute options for you and your client.
How do disputes work for fixed-price Direct Contracts?
For fixed-price contracts, you can file a dispute if a client has:
- Canceled a contract without payment
- Ended the contract without paying the full amount
- Failed to release a milestone payment despite the delivery of work
We recommend trying to resolve the issue with your client first, but you also need to make sure that you don’t miss the window to file a dispute. You have seven days after the contract cancellation to do so.
Learn how to file a dispute on a fixed-price contract here.
How do disputes work for hourly Direct Contracts?
Freelancers cannot file disputes on hourly contracts. However, you can respond if your client disputes your hours. You have three days to respond to an hourly dispute, so be sure not to miss that window.
What clients can dispute: Clients can file a dispute if they don't agree with the hours you invoiced on their project for the previous week. They can only dispute the previous week’s hours.
What happens if they dispute: We’ll pause your contract and set the contract’s weekly limit to zero. If you wish to resume working on the contract following the outcome of the dispute, please discuss resuming the contract with your client.
Remember that if you work more hours than you and the client agreed to set as a maximum per week in the contract, your client can decline those extra hours. You can’t dispute that non-payment.
Learn more about hourly disputes and how to respond to them here.
Note:
Bonus payments can’t be disputed.