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Status: Live (Public Adversarial Dispute)

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The real problem (not a theoretical one)

On freelancer and contractor platforms, disputes are not rare edge cases — they are a built-in consequence of how digital work operates. Real, everyday situations include:
  • A client claims “the work doesn’t match the original scope”
  • A contractor responds “the scope changed during the project”
  • A client withholds payment arguing poor quality
  • A freelancer claims the work was delivered and approved
  • Deliverables are submitted, but expectations were never clearly documented
These conflicts happen constantly, especially in remote, asynchronous work environments.

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How disputes are handled today (and why this doesn’t scale)

Most freelancer platforms resolve disputes through centralized mediation:
  1. The platform holds the payment.
  2. A dispute is opened through support.
  3. A platform agent:
    • reviews messages and files,
    • interprets terms of service,
    • makes a subjective decision.
  4. Funds are released based on that decision.
This model creates structural issues:
  • ❌ The platform acts as judge and party
    It decides over user funds while protecting its own interests.
  • ❌ High operational overhead
    Each dispute requires manual review by trained staff.
  • ❌ Subjective and inconsistent rulings
    Similar cases can result in different outcomes.
  • ❌ Slow resolution times
    Disputes can take days or weeks to resolve.
As a result:
  • freelancers feel unprotected,
  • clients feel decisions are arbitrary,
  • trust in the platform erodes.

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The key insight: escrow alone doesn’t resolve human disagreement

Freelancer platforms often rely on payment escrow:
  • clients pay upfront,
  • funds are locked,
  • funds are released upon completion.
But when there’s a disagreement, escrow alone isn’t enough. The critical question becomes:
Was the work actually delivered as agreed?
Without a clear, fair way to answer this:
  • payments get stuck,
  • decisions feel arbitrary,
  • disputes escalate emotionally.
👉 Human judgment is unavoidable in creative and knowledge work.
Justly provides a structured way to apply it.

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How Justly resolves disputes for freelancer platforms

Justly integrates as a neutral, external arbitration layer. A typical flow:
  1. The client funds the escrow.
  2. Work is delivered.
  3. A dispute is opened if there’s disagreement.
  4. Both parties submit evidence:
    • original brief or contract,
    • deliverables,
    • communication history.
  5. Independent jurors review the case.
  6. Jurors vote based on predefined rules.
  7. Funds are released automatically according to the ruling.
The platform:
  • does not decide the outcome,
  • does not mediate manually,
  • does not bear subjective responsibility.

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A concrete (very realistic) example

Freelance development contract
  • Payment: 800 USDC
  • Client claims: “the feature doesn’t meet requirements”
  • Developer claims: “the requirements changed after delivery”
With Justly:
  • Both submit:
    • the original specification,
    • the delivered code,
    • Git commits and messages.
  • Jurors evaluate:
    • Was the scope clearly defined?
    • Does the delivery meet the original agreement?
  • A vote is taken.
  • Funds are distributed automatically based on the verdict.
No platform intervention is required.

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Clear benefits for freelancer platforms

For the platform
  • Reduced support and mediation costs.
  • Fewer escalations and legal risks.
  • Transparent, auditable decisions.
  • Better scalability as the platform grows.
For clients
  • Confidence to fund work upfront.
  • Fair evaluation of deliverables.
For freelancers
  • Protection against unfair non-payment.
  • Clear, predictable dispute outcomes.

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Why this matters

Without fair dispute resolution:
  • high-quality freelancers leave,
  • clients hesitate to prepay,
  • the platform’s reputation suffers.
With Justly:
  • disputes stop being platform-breaking events,
  • and become a manageable, trust-preserving process.
Disputes between freelancers and clients are commonly handled through Tier 2 or Tier 3, balancing cost efficiency with stronger economic guarantees. See Dispute tiers.