Value Payment Solutions Limited Dispute Resolution Policy

1. INTRODUCTION

Value Payment Solutions Limited as a payment solutions service provider is centred on delivering value through innovation and exceptional user experience and therefore recognizes at all levels the need to ensure that its business operates smoothly and without interruption for the benefit of its customers, shareholders, and other stakeholders.

In order to ensure the effective and continuous operation of the business, Valuepay has implemented a Dispute Resolution Policy to ensure that all disputes are resolved amicably.

2. PURPOSE

The purpose of this policy is to provide a structured approach to resolving complaints that is fair and efficient and equitable between the company, employees, customers and stakeholders. This policy is intended to promote a positive environment and to protect the legal rights of all stakeholders of Valuepay.

3. SCOPE

The scope of this policy covers all internal and external disputes that may arise from and between Valuepay’s customers, employees, independent or third-party agents.

This plan makes reference to the Consumer Protection and Recourse Mechanism Policy which when combined together provides for a coordinated recourse mechanism recovery and reduces chaos.

4. DEFINITIONS

“Agent” means a person or an entity that has been contracted by VALUEPAY to provide services to the end customers on behalf of the company and under a valid agency agreement.

“Alternative Dispute Resolution (ADR)” means the collective description of methods of resolving disputes other than through the court trial process.

“Arbitration” means the submission of a dispute to the Court of Arbitration whose officer(s) shall act as arbitrator(s), for the purpose of having a dispassionate hearing, after which the arbitrator(s) shall make a finding.

“Arbitration Agreement” means an agreement between the parties to submit to arbitration present or future dispute.

“Award” means agreed terms obtained from an arbitration procedure,

“Branch” means any location where Valuepay or its representatives provide any products or services to individual customers.

“Consumer” means an individual, a group or a firm that uses, has used, or may be contemplating using, any of the products or services provided by Valuepay.

“Customer” means any person or entity who acquires access to Company infrastructure and payment solutions;

“Complainant” means a consumer, customer, or potential customer, or a duly authorised representative of a customer who presents a complaint to Valuepay.

“Complaint” means any oral or written expression of dissatisfaction about the provision of, or failure to provide, a product or service:

1. Which is made known to Valuepay by, or on behalf of a customer;
2. Which alleges that as a result of an act or omission by or on behalf of the Valuepay customer has suffered or may suffer:

• Financial loss
• Unnecessary inconvenience
• Distress

“Court” means the systems of judicature within Nigeria.

“Dispute” means a disagreement arising between Valuepay and a client or consumer from any agreement entered into with the Company.

“Duly Authorised Representative” means a person with a proven mandate to act on behalf of the consumer.

“Court of Arbitration” means an independent and private sector-driven centre for commercial dispute resolution.

“Merchant” means any person or entity who buys our services or products and sells them to third parties.

“Premises” means any building, structure, or any other place occupied by Valuepay for the purpose of providing services for the consumer.

“Working days” means Monday to Friday, not including public holidays.

5. OBJECTIVES

The objectives of this Dispute Resolution Policy are to:

1. Provide a focused approach to dispute resolution by giving both parties an opportunity for the amicable resolution of disputes.
2. Provide internal structures and processes which will support dispute resolution through oversight, monitoring and management of the ADR processes.
3. Provide the rules of conduct for the parties during the ADR process to ensure that the process is manageable, flexible and maintains discipline.
4. To provide an additional approach for dispute resolution to complement the existing internal dispute resolution mechanisms.

6. PRINCIPLES

The following principles shall govern Valuepay dispute resolution:

1. Fairness: All parties involved in a dispute shall be treated impartially and have an equal opportunity to present their case.
2. Efficiency: The dispute resolution process shall be conducted in a timely manner, aiming to reach a resolution as promptly as possible.
3. Confidentiality: The confidentiality of the dispute and any information shared during the process shall be maintained unless otherwise required by law.
4. Compliance: The decisions or resolutions reached through the dispute resolution process shall be binding and enforced, as per the applicable laws and regulations.
5. Redress Mechanisms: Valuepay shall put in place appropriate and effective procedures for receiving, considering and responding to complaints made by customers and stakeholders as well as escalate such complaints to the appropriate regulatory authority where necessary.

7. RECEPTION AND RESOLUTION

Valuepay’s internal complaint and redress mechanisms shall handle and seek to resolve all initial complaints. Where the complaint is made by a customer with respect to the products or services being offered by Valuepay, the company shall resolve such complaints in line with this policy while making reference to the Consumer Protection and Recourse Mechanism Policy.

8. ACKNOWLEDGEMENT OF COMPLAINTS AND DISPUTES

Valuepay shall acknowledge receipt of every complaint and dispute filed by a complainant within five (5) working days of receipt of the complaint. An acknowledgement shall be shared in the form in which the complaint was filed.

9. DISPUTE RESOLUTION PROCESS

1. Informal Resolution: Parties involved in a dispute should attempt to resolve the matter amicably through open communication and negotiation. This may involve direct discussions, meetings, or mediation between the parties concerned.
2. Formal Resolution: If the informal resolution is unsuccessful or deemed inappropriate, the parties may proceed to formal dispute resolution methods such as arbitration or litigation, as specified in the relevant agreements or contracts.
3. Mediation: Valuepay may offer mediation services to assist parties in resolving their disputes. Mediation will be facilitated by a neutral third party who will help facilitate communication and negotiation between the parties, aiming for a mutually acceptable resolution.
4. Arbitration: In cases where arbitration is chosen as the dispute resolution method, the parties agree to submit their dispute to one or more arbitrators who will make a binding decision. The arbitration process will be conducted in accordance with the rules and procedures agreed upon or as per the applicable laws.
5. Litigation: If the dispute cannot be resolved through informal methods, mediation, or arbitration, the parties may resort to litigation through the appropriate legal channels. Parties will be responsible for any legal costs incurred in the litigation process unless otherwise stipulated in a separate agreement.

10. COMPLIANCE AND IMPLEMENTATION

All employees and stakeholders within Valuepay are expected to comply with this dispute resolution policy. This policy shall be communicated to all relevant parties and made readily available for reference. Valuepay will provide necessary training or information to employees and stakeholders to ensure their understanding of the dispute resolution process.

11. REVIEW AND MODIFICATION

This dispute resolution policy will be periodically reviewed to ensure its effectiveness and relevance. Any necessary modifications or updates will be made as required.

DISPUTE MANAGEMENT SYSTEM

What is a Dispute?

A dispute occurs when a transaction’s validity is questioned and can be raised by the cardholder/customer or the Issuer/bank. In either scenario, the Issuer will send the dispute to the Acquirer to resolve. VALUE PAYMENT SOLUTIONS LIMITED (VALUEPAY) will either resolve the dispute or forward it to the merchant to provide evidence that the transaction is legitimate.

When a merchant receives the dispute, they can accept it or they can choose to challenge it by sending evidence to prove the transaction is legitimate. Valuepay will review the evidence to ensure it meets the necessary requirements before sending it to the Issuer. The Issuer will then review the evidence provided and will make a decision on the outcome of the dispute. The customer and the merchant will then be notified of the case decision.

Dispute and Chargeback Management ensures that disputing transaction management functionalities are provided effectively. A comprehensive automated chargeback management solution uses workflow and a rule-based structure.

Dispute Types and Stages

Before we look into our step-by-step guide on how to use the Disputes Management System it’s useful to gain an understanding of the different types of disputes, the relevant terminology and their meanings.

Dispute Term

Retrieval 

A request for proof that a transaction was valid. To respond to a Retrieval Request you might, for example, provide a copy of the sales draft for the transaction.

Funds are not exchanged during retrieval request cases, but if you do not respond successfully, you could be held responsible (liable) for any chargeback cases that result. 

Retrieval requests are sometimes simply referred to as retrievals.

Chargeback

A Chargeback case is created when the cardholder or Issuer is formally disputing a transaction. As soon as a chargeback case is initiated, the disputed funds are usually transferred from the merchant’ s account to the Issuer. With a chargeback you can choose to:

• Acknowledge it and accept liability
• Challenge it with supporting documentation

Arbitration / Pre-Arbitration

A Pre-Arbitration can be created when a case is not resolved at the chargeback stage. For this case type, the Issuer and Global Payments attempt to resolve the dispute and avoid Arbitration.

You would typically try to avoid arbitration because of the added fees, time lost and potential penalties if you lose the arbitration, case. is necessary, when performed by the Card Schemes (for example, Visa and MasterCard).

 Compliance / Pre-Compliance 

A Compliance or Pre-Compliance is a type of case that is based on a violation of the rules that are defined by the relevant Card Scheme. These violations include:

• The customer agreed to be charged at least once, but the merchant billed for key-entered multiple transactions without the cardholder’ s authority (card-present environment).
• A merchant/acquirer ignored a retrieval request issued for legal proceedings or law enforcement investigations.

Good Faith Collection 

A Good Faith Collection is a request for you to accept liability for a case on a good faith basis, even though the final deadline for resolving the case has passed. Acceptance of an incoming good faith collection case is completely at your discretion.

Exception Case 

The general term Exception Case includes both the incoming and outgoing versions of the following case types: Pre-Arbitration, Arbitration, Pre-Compliance, Compliance, and Good Faith Collection.

DISPUTE MANAGEMENT PORTAL

For easy management of the dispute types above and it is necessary for arbitration, Valuepay developed a DRS system for the stakeholders, the customer, the bank, and the merchant etc for management of disputes that arise from day-to-day activities on our various payment processing systems.

Features:

1. Ability to retrieve a disputed transaction and raise a ticket on it.
2. Ability to monitor the status of a disputed transaction and supply more supporting documents.
3. A dashboard showing pending issues, with Automatic email notification to stakeholders for a new event.
4. Various report generation and filters.
5. Automatic cut-off of dispute and auto acceptance in case the other part did not take necessary action.