In this article:
About disputes
A dispute (also called a chargeback) is when a guest challenges a payment with their bank. It protects guests from unauthorized or invalid charges, but for your restaurant it can mean lost revenue, fees, and extra admin work. Knowing how disputes work helps you minimize losses and keep good relationships with your guests.
The dispute process involves four parties: the guest, their bank (the issuing bank), your restaurant (the merchant), and the payment processor.
A dispute starts when a guest contacts their bank to challenge a payment to your restaurant. Reasons range from unauthorized charges to dissatisfaction with an order.
ℹ️ Owner provides the tools to respond, but isn't a party to the dispute. Disputes are decided between you, the guest, and the guest's bank.
How the dispute process works
The exact process varies by card network, but generally follows these steps.
1. The guest initiates the dispute.
When a guest sees a charge they believe is unauthorized, mistaken, or unsatisfactory, they file a dispute with the bank that issued their card.
2. The issuing bank starts the chargeback.
The bank pulls the disputed funds, plus a $15 dispute received fee, from your account while the case is reviewed.
3. You're notified.
You'll get an email, and the dispute appears in the Disputes section of your Owner Dashboard.
4. You respond.
You can submit evidence to counter the dispute, or accept it and return the funds. Countering a dispute costs a $15 dispute countered fee, which is returned if the bank rules in your favor.
⚠️ If you don't respond by the deadline, the dispute is ruled in the guest's favor by default.
5. The bank reviews the case.
The bank examines evidence from both sides and decides whether the dispute is valid. This can take up to 75 days.
6. The bank reaches a decision.
If the bank rules in your favor: the disputed funds and the dispute countered fee return to your account. The dispute received fee isn't refunded.
If the bank rules in the guest's favor: the disputed amount stays with the guest and you forfeit the dispute fee.
ℹ️ The full lifecycle from initiation to final decision is typically 2 to 3 months.
Preventing disputes
The best dispute is the one you never receive. A few practices cut dispute volume.
1. Use a clear statement descriptor.
Make sure the name on guest card statements matches your restaurant's public name. Unrecognized charges are one of the most common dispute triggers.
If you use Stripe as your payment processor, log in to your Stripe account, click Settings (the cog in the top right), then go to Business settings > Public details > Statement descriptor and update to your desired name.
If you use Owner Payments as your payment processor, log in to your Owner Dashboard, click Settings (the cog in the bottom left), then go to Payments > Public details > Statement descriptor and update to your desired name.
2. Send order confirmations.
This gives you the paper trail you need to win "Product Not Received" disputes without any extra effort.
✅ Owner automatically sends itemized receipts and delivery and pickup confirmations to your guests.
3.Resolve complaints quickly.
When a guest reaches out about a wrong or missing order, respond fast. A direct refund or replacement usually costs less than a dispute.
4. Train staff on order accuracy.
Wrong items, missing modifiers, and forgotten add-ons drive most "Product Not as Described" disputes.
5. Confirm delivery handoff.
Encourage drivers to take a delivery photo or confirm the drop-off in the app. Delivery information and pictures are included with all Uber Eats deliveries, and delivery information is included with all DoorDash deliveries.
Managing disputes from your Owner Dashboard
When a dispute is filed, you can review and respond to it directly from your Owner Dashboard.
ℹ️ Some disputes (already lost, already won, or still under bank review) don't accept further action. The status in your Disputes view will indicate where the dispute is in the process.
1. From your dashboard, click Payments.
2. Click Disputes.
3. Find the dispute you want to respond to by scrolling the list or using the filter.
4. Click the dispute to open it.
5. Click Accept dispute to return the funds, or Counter dispute to submit supporting evidence.
⚠️ There's a 19-page limit on dispute evidence responses, and a 4.5 MB limit per individual document.
The Disputes view shows:
Column | What it shows |
Respond by | The date and time by which you must respond. If you miss the deadline, the dispute is ruled in the guest's favor by default. |
Disputed on | The date and time the transaction was disputed. |
Status | One of: Won, Lost, Action Required, or Under Review. |
Reason | The reason category provided by the bank. See Types of disputes below. |
Customer | The email associated with the disputed order. |
Amount | The disputed amount. |
Types of disputes
There are eight standard dispute categories. The reason determines what evidence will be most persuasive and shapes how you respond.
1. Fraudulent
Description | The guest says they didn't authorize the charge. Most often tied to stolen card details. |
Example | Someone uses a stolen card to place a $180 delivery order, and the real cardholder disputes it when they see the charge. |
Evidence to submit | Cardholder identification details, the guest's IP address and device data from checkout, the delivery address (especially if it matches the cardholder's billing address), and any prior order history from the same guest. |
2. Product Not Received
Description | The guest says the order never arrived. Usually a delivery issue. |
Example | A guest claims their delivery order never showed up, or that the driver left it at the wrong door. |
Evidence to submit | The driver's delivery confirmation, GPS or route record, delivery photo, timestamp at the drop-off address, and the delivery address on file. For pickup orders, submit the pickup confirmation timestamp and any staff notes or camera record of handoff. |
3. Product Not as Described or Unacceptable
Description | The guest received the order but says it didn't match expectations. |
Example | A guest disputes a $60 order claiming the food arrived cold, items were missing, or modifiers were wrong (no onions, gluten-free bun, etc.). |
Evidence to submit | The itemized order receipt with the modifiers as ordered, any photos of the prepared order, communication with the guest about the complaint, and any refund or replacement you already offered. |
4. Duplicate
Description | The guest claims they were charged more than once for the same order. |
Example | A guest placed a delivery order on Friday and a similar one on Saturday and now believes the Saturday charge is a duplicate. |
Evidence to submit | Both order receipts side by side, with timestamps, itemized contents, and delivery addresses showing the orders are separate transactions. |
5. Credit Not Processed
Description | The guest was promised a refund or credit that wasn't issued. |
Example | A guest reported a missing item, your staff promised a refund, but it was never processed. |
Evidence to submit | Proof of the refund if it was processed after the fact, or accept the dispute and process the refund now. |
6. Subscription Canceled
Description | Applies to recurring charges the guest says were canceled before being billed. |
Example | A weekly catering order or recurring meal plan that the guest believed was canceled before the next charge ran. |
Evidence to submit | Your cancellation policy, records showing the subscription was active on the charge date, and any confirmation emails the guest received about the recurring schedule. |
7. Unrecognized
Description | The guest doesn't recognize the charge, often because the billing descriptor on their statement doesn't match your restaurant's public name. |
Example | Your restaurant is "Mama Rosa's" but the descriptor reads "MR HOLDINGS LLC," and the guest doesn't connect the charge to their dinner last week. |
Evidence to submit | The order receipt, the guest's contact details from checkout, and any post-order communication (review, reorder, loyalty signup) confirming they placed the order. |
8. General
Description | A dispute that doesn't fit the other categories. |
Evidence to submit | Any relevant order, fulfillment, and communication records. |
What evidence to submit
The right evidence depends on the dispute reason, but for most restaurant disputes the following types of documentation are helpful.
⚠️ Each dispute is handled separately, even if they come from the same guest. Submit evidence individually for each one.
Type | Description |
Order receipt and itemized order details | The full order from your Owner Dashboard, including items, modifiers, special instructions, subtotal, taxes, tips, and total. |
Pickup or delivery proof | For delivery orders, the driver's delivery confirmation, GPS or route data, delivery photo, timestamp at the drop-off address, and any driver notes. |
Guest order history | Repeat orders from the same guest (same name, email, phone, address, or card) strongly support that the charge was authorized. |
Guest information | Name, email, phone number, and delivery or billing address captured at checkout, especially when they match the cardholder. |
Guest communication | Texts, emails, or chat logs about the order, including any complaints, refund discussions, or thank-yous after delivery. |
Refund or comp records | If you already refunded part or all of the order, proof of that refund and the date it was issued. |
Your refund and cancellation policies | Especially relevant for "Product Not as Described" or large catering disputes. |
Photos | Photos of the prepared order before pickup or handoff can help with "Product Not as Described" claims. |
✅ Submit a clear, organized response that directly addresses the dispute reason. A well-structured rebuttal is more effective than a large volume of unrelated documents.