Terms of Service

1. Platform role

Covarah Ltd ("Covarah") operates a technology platform that facilitates structured communication, digital contract execution, milestone-based payment workflows (via our FCA-accredited escrow partner), and dispute resolution for construction projects.

Covarah is not a party to any contract between users. We are not a contractor, broker, employment agency, financial institution, regulated mediator, legal advisor, or construction consultant. All contractual obligations exist solely between the users.

2. Payments and escrow

All payments are processed and held by our independent FCA-accredited escrow partner, authorised by the Financial Conduct Authority as a Payment Service Provider and registered with HMRC as a Money Services Business.

Covarah does not hold, receive, control, or have access to user funds at any time. Users must separately accept our escrow partner's terms and conditions and complete their identity verification (KYC/AML) requirements before accessing payment functionality.

Payment release is triggered by digital approval from the client confirming satisfactory completion of the relevant milestone, or by an outcome from the dispute resolution process.

3. Fees

Covarah charges a platform fee of 1.5% of project value, collected via the escrow payment process. This fee covers access to all platform features including digital contracts, communication logging, milestone management, and access to the dispute resolution framework. Fees are stated exclusive of VAT unless otherwise specified.

4. User obligations

All users agree to:

• Provide accurate and complete information
• Conduct all project communication via the Covarah platform
• Comply with the platform's communication and behaviour standards
• Complete required identity verification through our escrow partner
• Approve or formally dispute milestones within 5 working days of notification
• Participate in good faith in any dispute resolution process

Communication conducted outside the platform is not recognised by Covarah, will not be considered in any dispute process, and is undertaken entirely at the user's own risk.

5. Digital signatures

By using the platform, users acknowledge that electronic signatures and digital approvals constitute legally binding acceptance under the Electronic Communications Act 2000. All agreements executed via the platform are enforceable contracts. Covarah captures timestamp, IP address, and user identity for each signature as an audit trail.

6. Variations

All variations to agreed works must be raised within the platform, including a description of the change, cost impact, and timeline impact. A variation is only valid when both parties have provided digital approval prior to the work commencing. Verbal or off-platform instructions do not create any obligation on either party.

7. Dispute resolution

Covarah provides structured dispute facilitation to help both parties communicate and work towards resolution. For formal adjudication or legal proceedings, independent professionals are appointed through recognised bodies (RICS, RIBA, CIArb). Covarah does not provide legal, financial, or construction advice.

The dispute resolution framework follows these stages:

1. Platform mediation — Covarah facilitates communication. Informal, non-binding, no additional cost. Target: 14 days.
2. Independent adjudication — Appointed via RICS, RIBA, or CIArb. Interim binding decision. Target: 28 days.
3. Arbitration — Final and binding. Reserved for high-value or complex disputes.
4. Courts — Last resort, after all stages exhausted.

Where a project agreement constitutes a "construction contract" under the Housing Grants, Construction and Regeneration Act 1996, the statutory right to adjudication applies and cannot be excluded.

8. Limitation of liability

Covarah's total aggregate liability to any user shall not exceed the total fees paid by that user in the twelve months preceding the claim. Covarah shall not be liable for loss of profit, revenue, business, or consequential loss. Nothing in these terms limits rights under the Consumer Rights Act 2015.

9. No circumvention

Users agree not to circumvent the platform for any transaction arising from an introduction made via Covarah for 12 months following such introduction. In the event of circumvention, Covarah may claim liquidated damages equal to the platform fees that would have been payable.

10. Account termination

Covarah may suspend or terminate accounts for breach of these terms, suspected fraud, abusive conduct, failure to cooperate in dispute resolution, or providing false information. Projects with signed contracts cannot be deleted — they may be archived but all records are preserved.

11. Governing law

These terms are governed by the laws of England and Wales. Court proceedings shall be subject to the exclusive jurisdiction of the courts of England and Wales.

12. Contact

Covarah Ltd
Email: hello@covarah.co.uk
Website: www.covarah.co.uk