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Dispute Resolution Policy

Last updated: May 7, 2026

1. Overview

SaforaX provides mediator-assisted dispute resolution for milestone-based projects. Our goal is fair, fast resolution that respects the rights of both clients and freelancers. All disputes are resolved under Indian contract law.

2. When to Raise a Dispute

Disputes must be raised within 7 days of milestone submission. Valid reasons include:

  • Work delivered does not match the agreed scope
  • Freelancer fails to deliver within the deadline
  • Client refuses to approve completed work without valid reason
  • Quality of work is significantly below industry standards
  • Fraudulent activity or misrepresentation

Disputes cannot be raised for:

  • Change of mind after approving work
  • Dissatisfaction with agreed scope (not a quality issue)
  • Freelancer's delay due to client's slow feedback

3. Dispute Resolution Process

  1. Dispute Raised

    Either party raises a dispute with evidence (screenshots, messages, deliverables). SLA: Dispute appears in queue within 1 hour.

  2. Mediator Assigned (24h)

    A qualified mediator is auto-assigned. Mediators cannot be parties to the dispute. SLA: Mediator must acknowledge within 24 hours.

  3. Evidence Review (48h)

    Both parties submit evidence. Mediator reviews all materials and may request clarifications.

  4. Mediation (72h)

    Mediator attempts to facilitate a mutual agreement. If successful, both parties approve the resolution.

  5. Binding Decision (96h)

    If mediation fails, the mediator issues a binding decision:
    - Favor Client: Full or partial refund
    - Favor Freelancer: Full payment release
    - Split: Partial refund + partial release (custom %)

  6. Escrow Released (24h)

    Funds are automatically released according to the resolution. Payouts to freelancers take 1-3 business days.

4. Mediator Standards

  • Mediators are senior freelancers or industry experts
  • Must disclose any conflict of interest
  • Cannot be a party to the dispute they mediate
  • Decisions are binding under Indian contract law
  • Can be held liable for gross negligence or bias

5. Escalation

If you believe a mediator acted with bias or gross negligence, you may escalate to our internal review board within 48 hours of the decision. Final escalation is to a designated representative as per the Arbitration and Conciliation Act, 1996.

6. Dispute Fees

The first 3 disputes per user are free. Subsequent disputes incur a ₹500 dispute fee (refunded if you win). This prevents frivolous disputes and ensures serious usage.

7. Contact Us

For dispute-related queries, contact disputes@saforax.com or raise a dispute from your project dashboard.