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Add media Report RSS Psycho 'frauds': A DoubleFine Mess #FigOff
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TheUnbeholden Author
TheUnbeholden

Atleast with Kickstarter there is some potential for legal action. Kickstarter is a form of doing business, just for smaller businesses, not mom and pa's but rather the video game equivalent of that in one to 20 man teams. Like any investment there are expectations, promises and GOSH consumer rights to get what we pay for via the 'reward' system. if we don't end up getting the promised product (digital copy of game of physical rewards), it has to be matched by something of equal value or refunded the money (which may not be possible because of time limitations, It seems that people can't get a refund through Amazon Payments as they only allow disputing of claims upto 105 days and paypal not much better upto 180 days), Kickstarter refuses to take responsibility for Kickstarter devs not fulfilling their responsibilities. But they have taken steps to 'cover their *****' by providing a updated Terms of Use (in October 19, 2014: Kickstarter.com) that both the developer and the kickstarter users "sign" as a result of joining the website (we have to agree to it to use the site), which provides some legal avenue if people wish to sue, they can take litigation and if backed up by consumer law and E-Commerce protecting against fraud could establish precedents in case law in regards 'crowd funding' 'digital downloads' and 'rewards' system. Kickstarter.com

"When a project is successfully funded, the creator must complete the project and fulfill each reward. Once a creator has done so, they’ve satisfied their obligation to their backers..... [big list of obligations for backers to fulfill you can read in the link like transparency, refund, can't use the money for other projects]....The creator is solely responsible for fulfilling the promises made in their project. If they’re unable to satisfy the terms of this agreement, they may be subject to legal action by backers."

One potential case law precedent established for crowd funding: Entrepreneur.com

---The Federal Trade Commission is now stepping in the ring in order to protect consumers. In its first case against a crowdfunded project, the agency took legal action against a board game campaign that raised more than $122,000 on Kickstarter.... That's when things took a turn. According the FTC complaint, despite promising backers rewards, including copies of the game and figurines, most never received anything from Chevalier. Nor did they receive a refund. Instead "Chevalier spent most of the money on unrelated personal expenses such as rent, moving himself to Oregon, personal equipment, and licenses for a different project,"
the FTC claim alleges.Chevalier has reached a settlement with the FTC under which he must pay a $111,793 fine, though it has been suspended due to his current financial situation. He is also permanently barred from raising money through crowdfunding.-----

Personally I've had this experience. On Oct 24, 2013, I backed a Kickstarter project: Confederate Express under the agreement between backer and kickstarter creator that I would gain the following digital goods by Jun 2014, a free DRM-free copy of the game. Its been 6 months since then I still have not received information on how to obtain the game, where all the funds are going, and the website is showing a completely unrelated title that I did not consent to supporting. The $40'000 amount funded by the community seems to be going to a unrelated project that I nor anyone else going by the kickstarter page, did not consent to and have not been communicated whats going on whether we will see anything in return. A update on the status page says lies about releasing the game in nov/dec last year, but that has not happened. I contacted the author through the kickstarter messaging system on December 16, didn't get anything. Reporting it through Kickstarter does nothing. Getting people to be aware and not to trust: Maksym Pashanin and Denys Pashanin isn't enough. Unforuntately the updated terms of use for Kickstarter listing obligations was done in September 19 and was taken into effect on October 19, 2014, but for future violations Legal action can be taken as we've already seen.

There is ZERO reason to take a online agreement as being somehow void. Its not anonymous and it may be long distances and sometimes different countries where the people are funding from, that doesn't mean that we are taking everything on faith, or treating it as a gift between friends/family, its not a voluntary donation and its not 'just expectations'. Thats pure fiction that you should be ashamed of advocating. I get that you like Kickstarter, but thats no reason to believe that the rewards are a 'sales puff', that the Terms of Use is not an agreement, and that fraud under consumer law for E-Commerce is just a legal document, it doesn't mean anything my ***.

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