Stages and Available actions

Overview

Below, we will provide detailed descriptions of each contract status as well as its corresponding available actions for the buyer and the seller.

Deployed

This is when the contract is officially confirmed by all parties. A customized escrow contract is launched onto the blockchain, locking in negotiated contract terms.

Buyer's Available Actions:

• Transfer Funds to Escrow: The buyer locks the full contract amount into the customized escrow smart contract on-chain. Once the funds are successfully locked, the contract will automatically progress to the "Funds Transferred" status
• Cancel Contract: At this stage of the transaction, the buyer also has the option to back out of the contract. If they choose to do so, they can cancel the agreement without incurring any penalties.

Seller's Available Actions:

• Cancel Contract: At this stage of the transaction, the seller also has the option to back out of the contract. If they choose to do so, they can cancel the agreement without incurring any penalties.

Funds Transferred

This stage occurs once the buyer has successfully locked all required contract funds into the escrow smart contract on the blockchain. These funds will remain securely held in escrow until the contract items are properly delivered and received. At this point, the responsibility shifts to the seller, who must complete the delivery within the timeframe specified during the "Delivery Preparation" period outlined in the contract.

Buyer's Available Actions:

• Cancel Contract: At this point in the transaction, the buyer has deposited the full contract amount into the customized escrow smart contract on-chain, and the seller has begun preparing for delivery. While the buyer still has the option to cancel the contract, doing so will incur a penalty as specified in the initial agreement. Upon cancellation, the escrowed funds less the penalty amount, will be returned to the buyer's wallet.
• Time Extension Request Received: If the seller is unable to complete the delivery within the agreed timeframe and requests an extension, the buyer will have the option to either accept or reject the proposed extension. The transaction will proceed based on the buyer's decision—acceptance will update the delivery deadline accordingly, while rejection will keep the delivery deadline as is.

Seller's Available Actions:

• Cancel Contract: At this stage, the seller retains the right to back out of the transaction. If the seller chooses to cancel the contract within the first 24 hours after the status changes to "Funds Transferred," they may do so without incurring any penalties. However, if the seller cancels the contract after this 24-hour window, they will be required to pay the penalty amount specified in the contract terms.
• Deliver Product(s)/Service(s): Once the seller has successfully delivered the contract item(s), they must select this option to confirm delivery. Sellers are strongly encouraged to provide receipts, video proofs, etc. of the delivery to protect from future disputes. Upon selecting this option, the contract will automatically advance to the next stage, labeled "Shipped."
• Request More Time: If, for any reason, the seller is unable to complete the delivery of the contract item(s) within the agreed-upon delivery period, they have the option to request a time extension. However, it is entirely up to the buyer to accept or reject this request. If the buyer rejects the proposed extension, the seller will still be obligated to complete the delivery within the original timeframe specified in the contract.

Shipped

The contract item(s) has been delivered by the seller and is now on its way to the buyer. The buyer can review the delivery evidence uploaded to the "Communications". The item should be received within the shipping timeframe specified in the contract. Once the shipping period is over, the contract will automatically move into the Buyer Protection period.

Buyer's Available Actions:

• Confirm Receipt: If the buyer receives the contract item(s) before the agreed-upon shipping period ends, they can select this option to confirm successful delivery. Once this option is selected, the contract will advance to the "Buyer Protection" phase

Seller's Available Actions:

• N/A

Buyer Protection

The buyer should have received the contract item(s) from the seller. The buyer now has the Buyer Protection period specified in the contract to inspect the item(s) delivered. The seller will be able to withdraw funds from the escrow contract once the Buyer Protection period ends. In addition, 24 hours after the Buyer Protection period ends, funds in the escrow contract will automatically be released to the seller.

Buyer's Available Actions:

• Release Funds: This option indicates that the buyer has completed their inspection of the delivered contract item(s) and confirmed that everything arrived correctly and as expected. By selecting this option, the buyer authorizes the release of funds from the on-chain smart contract, transferring the full contract amount to the seller's pZipper wallet, thereby advancing the contract to the final "Completed" phase.
• Settlement Adjustment: With this option, the buyer can propose a lower final payment amount to the seller for any reason, initiating a post-delivery negotiation. However, the proposed adjustment is subject to the seller's acceptance. If the seller rejects the proposal, the buyer is still obligated to release the full contract amount as originally agreed. It's important to note that this final negotiation feature is only available if the contract has the "Post-Delivery Adjustment" option toggled to YES at the time of contract creation.
• Dispute: If the buyer has justifiable reasons to withhold the release of contract funds—such as issues with the delivered item(s) or unresolved disagreements with the seller regarding the final payment—they may initiate a dispute. To do so, the buyer can click the "Help" icon located in the top-right corner of the Contract Management interface. This action will submit an official intervention request to the pZipper support team. Before proceeding, the buyer must agree to pZipper's dispute resolution terms and understand the requirements involved in the process. For full details, please refer to the Dispute Resolution section in our FAQ section.

Seller's Available Actions:

• N/A

Delivery Finalized

The delivery of the contract item(s) has been confirmed. The buyer will now release funds from the escrow contract to the seller (seller can also withdraw directly from the contract). Also, after 24 hours in this stage, funds in the escrow contract will automatically be released to the seller.

Completed

The funds have been released from the escrow contract and deposited into the seller's wallet. The transaction is now complete and the seller can check that funds have arrived safely to their wallet.