1. INTRODUCTION

These Escrow Payment Terms ("Terms") govern the use of Karipe’s escrow payment system ("Escrow Service") by contractors and homeowners (collectively, "Users"). By using the Escrow Service, you agree to comply with these Terms in addition to Karipe’s Terms of Use and Contractor Agreement.

Karipe facilitates escrow payments through a third-party payment provider, Stripe, to ensure secure and fair transactions for both homeowners and contractors.

2. HOW ESCROW PAYMENTS WORK

Karipe’s escrow system protects both parties by holding funds securely until the project milestones are met. The payment process follows these steps:

• 1️⃣ Homeowner deposits funds into escrow before the contractor begins work.
• 2️⃣ Contractor starts the project, knowing payment is secured.
• 3️⃣ Funds remain in escrow until the agreed-upon work milestone is completed.
• 4️⃣ Homeowner approves the release of funds based on project completion.
• 5️⃣ Karipe releases the payment to the contractor through Stripe.

📌 Payments are only released upon homeowner approval or per the agreed-upon payment schedule.

🚨 Karipe is NOT responsible for non-payment disputes between users. Funds will not be released without homeowner approval unless escalated under the Dispute Resolution Policy.

3. FEES & PAYMENT STRUCTURE

🔹 Contractors Pay a Fee ONLY When They Get Paid

• Contractors are charged a service fee of 5% - 9.99%, based on qualifications.
• There are NO upfront costs, lead fees, or subscription fees.
• Stripe charges a ~3% payment processing fee, which is passed directly to the contractor (this fee does not benefit Karipe).

🔹 Contractor Tiers & Verification

• Basic Tier – Free, no documentation required.
• Certified Tier – Free, but requires $100 administrative fee for document verification.
• Guaranteed Tier – Free, but requires $100 administrative fee for document verification.

The $100 admin fee is a flat cost, regardless of tier, and covers document verification expenses.

4. DISPUTES & ESCROW HOLDS

• If a dispute arises, Karipe temporarily holds the escrow funds until a resolution is reached.
• Users must attempt to resolve disputes between themselves before escalating to Karipe.
• If no agreement is reached, Karipe will follow the Dispute Resolution Policy to determine the proper fund distribution.

📌 Funds will NOT be refunded or released until a dispute is resolved.

5. REFUNDS & CANCELLATIONS

• Refunds are processed only if a homeowner cancels a project before work begins.
• Once a project has started, funds are locked in escrow unless a mutual agreement is reached.
• Partial refunds may apply for incomplete work, depending on the dispute outcome.

🚨 Karipe does NOT provide direct refunds—refunds are subject to escrow terms and dispute resolution.

6. CONTRACTOR LIABILITY & LEGAL ENFORCEMENT

🚨 Prohibited Off-Platform Transactions

To maintain the integrity of the Karipe Platform and ensure a secure transaction environment, all communications and financial transactions between homeowners and contractors must be conducted through Karipe. Users are strictly prohibited from engaging in off-platform payments, deals, or contract agreements. Any attempt to bypass Karipe’s escrow system to avoid fees or facilitate unauthorized transactions is considered a violation of these terms.

• Contractors agree that:
• They must complete the agreed-upon work before funds are released.
• They must comply with all payment agreements and milestone schedules.
• If a contractor’s actions result in financial loss to Karipe, Karipe reserves the right to pursue legal action to recover funds, plus interest and damages.

🚨 Contractors cannot sue Karipe over escrow transactions. However, Karipe reserves the right to take legal action against contractors if necessary to recover financial losses.

7. DISCLAIMERS & LIABILITY LIMITATIONS

• Karipe does not guarantee contractor performance or homeowner satisfaction.
• Karipe is not liable for disputes, project failures, or financial losses between users.
• Karipe reserves the right to suspend or terminate escrow services for fraudulent or unlawful transactions.

8. DISPUTE RESOLUTION & ARBITRATION

• All disputes regarding escrow payments must follow Karipe’s Dispute Resolution Policy.
• If unresolved, disputes shall be settled exclusively by binding arbitration in Wyoming under American Arbitration Association (AAA) rules.
• Users waive the right to sue Karipe or participate in class-action lawsuits.

9. MODIFICATIONS TO ESCROW TERMS

Karipe reserves the right to modify these Escrow Payment Terms at any time. Users will be notified of significant changes, and continued use of the Escrow Service constitutes acceptance of the revised terms.

10. CONTACT INFORMATION

• 📧 Email: escrow@karipe.com
• 📍 Address: 30 N Gould St Ste R, Sheridan, WY 82801

By using Karipe’s Escrow Service, you acknowledge and agree to these terms. If you do not agree, you may not use the Escrow Service.