When Should You File a Dispute?
Ratedeed’s built-in dispute system exists to protect both homeowners and contractors when project expectations, craftsmanship, or timelines break down. You should consider opening a dispute if:
- Unfinished Work / Abandonment: The contractor stopped showing up or ceased communication while funds remain in escrow.
- Code Violations or Substandard Work: Completed work materially violates local building codes, manufacturer installation guidelines, or agreed quote specifications.
- Unauthorized Deviations: The contractor substituted inferior materials or altered the project scope without a signed in-app Change Order.
- Unreasonable Delays: The project has stalled significantly beyond the agreed completion date without a valid weather or supply chain justification.
The 4-Stage Dispute Resolution Process
1. Dispute Opened ──► 2. Immediate Escrow Freeze ──► 3. Evidence Review ──► 4. Binding Determination
(48-Hour Direct Chat) (Photos & Contracts) (Refund / Release / Split)
Stage 1: Instant Escrow Freeze
The moment either party clicks "Open Dispute" on the Job Details screen, all milestone funds in escrow are instantly locked. Neither the homeowner nor the contractor can withdraw, release, or transfer the funds while the dispute remains active.
Stage 2: Direct 48-Hour Communication Window
Before formal platform mediation begins, both parties are given a dedicated 48-hour window inside the secure Ratedeed Job Chat to reach a mutually agreeable settlement. Common resolutions during this phase include:
- The contractor returning to fix the specific defective items within an agreed timeframe.
- The contractor offering a mutually agreed partial price reduction.
- Agreeing to mutually cancel remaining milestones and release completed portions.
Stage 3: Evidence Submission
If direct agreement is not reached within 48 hours, a dedicated Ratedeed Dispute Specialist is assigned. Both parties are invited to upload supporting evidence:
- Original Signed Quote & Line-Item Deliverables.
- Time-stamped Photos and Videos of current job site conditions, installations, or damage.
- Written Change Orders processed through the application.
- Third-Party Inspection Reports or municipal building inspector notices (if applicable).
Stage 4: Neutral Ratedeed Resolution
Our dispute resolution specialists review all evidence against the binding written contract and industry standard trade practices. Ratedeed issues a final, binding determination:
- Full Homeowner Refund: If the contractor failed to perform or abandoned the project, 100% of the disputed escrow funds are refunded to the homeowner's card.
- Partial Prorated Settlement: If part of the milestone was completed properly while other parts were defective, funds are divided equitably based on verified material and labor costs.
- Full Milestone Release to Contractor: If the evidence demonstrates that the contractor fulfilled all contractual specifications, the escrow funds are disbursed to the contractor's bank account.
Tips for a Quick Resolution
- Keep All Messages on Ratedeed: Communications conducted via personal SMS, WhatsApp, or phone calls cannot be officially verified during evidence audits.
- Take Clear, Well-Lit Photos: Detailed close-ups and wide-angle job site photos provide the most compelling evidence.
- Use Formal Change Orders: If you modify project scope or materials midway through, always submit an in-app Change Order so the contract remains current.