Section 7 discusses your agreement to make and receive payments only through Faith In Freelancers for two years from the date you first meet your Employer or Freelancer on the Site, unless you pay an Opt-Out-Fee, as detailed below.
7.1 MAKING PAYMENTS THROUGH FAITH IN FREELANCERS
You acknowledge and agree that a substantial portion of the compensation Faith In Freelancers receives for making the Site available to you is collected through the Service Fee described in Section 5.1. Faith In Freelancers only receives this Service Fee when an Employer and a Freelancer pay and receive payment through the Site. Therefore, for 12 months from the time you identify or are identified by any party through the Site (the “Non-Circumvention Period”), you agree to use the Site as your exclusive method to request, make, and receive all payments for work directly or indirectly with that party or arising out of your relationship with that party (the “Faith In Freelancers Relationship”). For the avoidance of doubt, if you, or the business you represent, did not identify and were not identified by another party through the Site, such as if you and another User worked together before meeting on the Site, then the Non-Circumvention Period does not apply. If you use the Site as an employee, agent, or representative of another business, then the Non-Circumvention Period applies to you and other employees, agents, or representatives of the business when acting in that capacity with respect to the other User.
Except if you pay the Opt-Out Fee (see Section 7.2), you agree not to circumvent the Payment Methods offered by the Site. By way of illustration and not in limitation of the foregoing, you agree not to:
- Submit proposals or solicit parties identified through the Site to contract, hire, work with, or pay outside the Site.
- Accept proposals or solicit parties identified through the Site to contract, invoice, or receive payment outside the Site.
- Invoice or report on the Site or in an Opt-Out Fee request an invoice or payment amount lower than that actually agreed between Users.
- Refer a User you identified on the Site to a third-party who is not a User of the Site for purposes of making or receiving payments off the Site.
You agree to notify Faith In Freelancers immediately if a person suggests to you making or receiving payments outside of the Site in violation of this Section 7.1. If you are aware of a breach or potential breach of this non-circumvention agreement, please submit a confidential report to Faith In Freelancers by sending an email message to: [email protected]
If you refuse to accept any new version of the Terms of Service or elect not to comply with certain conditions of using the Site, such as minimum rates supported on the Site, and therefore choose to cease using the Site, you may pay the Opt-Out Fee for each other User you wish to continue working with on whatever terms you agree after you cease using the Site.
7.2 OPTING OUT
You may opt-out of the obligation in Section 7.1 with respect to each Faith In Freelancers Relationship only if the Employer or prospective Employer or Freelancer pays Faith In Freelancers an opt-out fee for each such relationship (the “Opt-Out Fee”).
The Opt-Out Fee is computed as follows
(a) interest at the rate of 18% per annum or the maximum rate permitted by applicable law, whichever is less, on the amount calculated in (b), from the date Employer first makes payment to the subject Freelancer until the date the Opt-Out Fee is paid; and
(b) the greater of:
(i) $3,500; or
(ii) 25% of the anticipated annualized salary or wages for one year if the Employer offers Freelancer employment directly; or
(iii) all Service Fees that would be earned by Faith In Freelancers from the Faith In Freelancers Relationship during the Non-Circumvention Period, computed based on the annualized amount earned by Freelancer from Employer during the most recent normalized 8-week period, or during such shorter period as data is available to Faith In Freelancers;
(iv) provided, however, that if the amount in (ii) and (iii) cannot be ascertained due to uncertainty or lack of sufficient information, then Faith In Freelancers and you agree that fee shall be $3,500; if only one of (ii) or (iii) can be ascertained, then Faith In Freelancers and you agree that amount shall be used if it is greater than $3,500.
To pay the Opt-Out Fee, you must request instructions by sending an email message to [email protected]
If Faith In Freelancers determines, in its sole discretion, that you have violated Section 7, Faith In Freelancers or its Affiliates may, to the maximum extent permitted by law (x) charge your Payment Method the Opt-Out Fee (including interest) if permitted by law or send you an invoice for the Opt-Out Fee (including interest), which you agree to pay within 30 days, (y) close your Account and revoke your authorization to use the Site and Site Services, and/or (z) charge you for all losses and costs (including any and all time of Faith In Freelancers employees) and reasonable expenses (including attorneys’ fees) related to investigating such breach and collecting such fees.