If you’ve been following Go Go Mama Go for a while, you’ll know that I originally intended to build a site that allowed consumers to search and compare strollers as well as provide editorial neutral articles on strollers. I went through eLance, which I have found to be great for sourcing VAs, writers and people to cut product images. But I also used them for my main development company.
The experience started out great. The logo and interface designs were lovely. I was more than ecstatic when I got my first deliverables. But as time wore on, I realized that the vision for my site would be significantly impacted because this developer did not understand the vision itself and was creating functionality that would hinder – not help – the site.
After months of frustration, including some weeks of radio silence, I decided to escalate to Elance. The first step in dispute resolution is that they will try to get the parties to come up with a solution via private message board. In this case, the provider refused to budge. The second step was for Elance to bring the parties together via conference call. Unfortunately, the provider sent the project manager, not anyone who was capable of negotiating anything, so there was no resolution. The final step is to go to formal arbitration. The result of arbitration is binding and final. In my case, because the amount I’m requesting is over $1,000, Elance recommended going with a panel. The fee for arbitration is split three ways between the provider, elance and me.
I’ll let you know how I faired, as well fill you in a bit more with the process of arbitration, but here are some tips to consider to help you either avoid arbitration or help you should you find yourself in arbitration:
1. Keep a log.
Log everything. Even if it’s just a note. Just log activities and deliverables in point form. Note your thoughts, as well as significant things that may have been said. You might be able to search in private message board or emails later, but it’s a bit of a pain. Keeping a log keeps things clear.
2. Always stick to private message board.
This is what Elance recommends. There are transcripts of conversations between the provider and me in Skype but they have not even been submitted. Never send email directly. Take advantage of the log that the private message board keeps. If you can’t say it on the private message board, then it shouldn’t be said.
During one part of the project, I was logging bugs in the provider’s bug tracking software. When things weren’t going well, I started forwarding the emails generated by the system directly to the private message board so that they would be logged.
3. Speak up early.
If you are not happy with your provider, tell them early. Be very clear. If you are using a provider from another country, mind the power distance, which basically means that you might need to be more forceful than you usual to make a point. Speak up often so that they understand that things aren’t going as you’d like.
4. Write requirements.
As someone who has been in the biz for years, I couldn’t believe that I made the rookie mistake of not providing documentation. I assumed that a mid-tiered web shop in India would understand concepts like “tag” or “compare functionality” or “advanced search”. Or that I wouldn’t need to explain that search results could look the exact same whether they were from a simple search or an advanced search.
But this was not true and I found myself having to correct issues because I assumed that the provider would be more savvy.
5. Do not give up your leverage.
In North America, especially with those you have a business relationship with, you can go on “good faith”. You can say things like, “I’ll release this payment if you deliver on these terms in a certain time frame” and expect that first the provider will endeavour to meet your needs or that you’ll get some kind of compensation or refund if they don’t just to make you a happy customer.
I know – I can see your face cringing as you read that last paragraph, knowing without me having to tell you, that I made that mistake with my India provider. I gave up my leverage, releasing it in good faith and expecting that the provider would not just provide lip service when agreeing to the terms. I was wrong.
So I’m in the final bouts of arbitration. I don’t want to reveal too much before everything has been decided but I will definitely let you know the result.
Related Posts:

{ 1 comment… read it below or add one }
Hi!
Have you got any latest news as to how your arbitration went? This is all very interesting.