|
Post by firlefranz on Mar 1, 2010 9:33:53 GMT
Finally, here are some of the questions answered that i figured out are very crucial to you:
1) When an artist cancels his project – what happens to the money of the believers?
Money will be transferred to the SellaBand balances and you can get a part in another artist
2) Is the Money of the believers after the 2 weeks still on the escrow account?
Yes
3) Do the new Terms & Conditions apply to the Parts bought before or after the bankruptcy?
The T&Cs state that you can withdraw your money within two weeks after accepting the T&C so this is also the case for "old money"
4)Could it happen, based on the 2 Weeks condition, that believers will fund in a project an withdraw their money before the 2 weeks are over, so that there will be only 2 weeks for artists to reach their goal.
If some beleivers of an artist withdraw their money, an artist can still try to find new beleivers and money and is not in need to raise the money within 2 weeks.
You can find an interview on TalentCast, where a lot of questions are covered in detail - (Thanks to Catself and the TalentCast Crew) and there will also be another interview published by the 50K MUSIC MAG (Thanks to Mario) covering important points of the Terms & Conditions aswell.
I hope this helps to clarify at least some of your urgent questions, and of course there is more to come, as we will summarize all questions and announce them in a new FAQ sektion.
Best, Franz
|
|
whaley
Somewhat Sellaband addicted
Posts: 265
|
Post by whaley on Mar 1, 2010 9:45:47 GMT
My personal 'hot topic':
In the past Sellaband had a cd (Limited Edition CD or LECD) printed for every $10 part. If you had 10 parts in an artist, you could for example have 5 sent home and 5 would be stocked by Sellaband to be sold on behalf of the believer. What happens to those CDs that are still in stock, can believers still get back their own CDs (for example by mail/courier for a reasonable shipping fee)?
|
|
|
Post by wyando on Mar 1, 2010 10:11:46 GMT
Regarding to Question 4: Art 5.4 of the Believers T&C says that a 10% administration fee + transaction costs has to be payed immediately when purchasing parts. Regarding Art 4.5 of the same T&C, what will be payed back, if the user claims back his money within those 14 days?
Regarding to question 2: So the money stays in the escrow account, independent from SellaBand GmbH, but if the user can't claim back his money after those 14 days, who will be "owner" of that money if something like bankruptcy, insolvency, etc happens again?
|
|
xahmol
Sellaband addict in waiting
Posts: 34
|
Post by xahmol on Mar 1, 2010 11:54:18 GMT
Biggest issues are still not answered: - what happens with your rights on parts in artists that reached target when you refuse to accept the new T&C? - How can SAB be legal with the new paragraph 4.5 in the T&C as oldSAB management always told us it was only legal because you could always get your money back? It seems now SAB should fall under either gambling or investment fund regulation? - What is that 'financial regulation' you quote that forces paragraph 4.5 to be implemented as it seems all other similar websites on the web AND oldSAB never had any issue with it?
|
|
|
Post by Lucretia on Mar 1, 2010 13:29:18 GMT
Regarding to question 2:So the money stays in the escrow account, independent from SellaBand GmbH, but if the user can't claim back his money after those 14 days, who will be "owner" of that money if something like bankruptcy, insolvency, etc happens again? I'd also like to take this question one stage further. What happens if an artist leaves the site after the 14 day period is up, or hits the 6 month inactivity clause? Must the money stay with Sellaband in these cases too or ar believers entitled to withdraw these funds under the circumstances?
|
|
thor
Sellaband addict in waiting
Posts: 42
|
Post by thor on Mar 1, 2010 13:57:42 GMT
Another question:
The T&Cs (2.) say "All money invested in a Music Project will be held in escrow by a third party".
Does this apply to the money which is not (yet) invested, too, i.e. the money on the believers's balance?
Thank you!
|
|
thor
Sellaband addict in waiting
Posts: 42
|
Post by thor on Mar 1, 2010 14:00:55 GMT
I'd also like to take this question one stage further. What happens if an artist leaves the site after the 14 day period is up, or hits the 6 month inactivity clause? Must the money stay with Sellaband in these cases too or ar believers entitled to withdraw these funds under the circumstances? As I understand it, exactly this case is answered in the first question: The money goes back to the believers's balance, and can be reinvested in other artists (--> which implicitely means: It cannot be refunded)
|
|
xahmol
Sellaband addict in waiting
Posts: 34
|
Post by xahmol on Mar 1, 2010 15:56:20 GMT
As I understand it, exactly this case is answered in the first question: The money goes back to the believers's balance, and can be reinvested in other artists (--> which implicitely means: It cannot be refunded) That is also how I now understand it, which to me is unacceptable indeed. What if there are no projects left worth supporting? Which is not theoretical, as none of the artists I support still have accepted the new T&Cs and some already declined.
|
|
|
Post by Lucretia on Mar 1, 2010 16:47:20 GMT
The question arises because of section 8.3 in the believers T&C which suggests that there are some circumstances in which money could be paid back out to a believer's Paypal account. Hence why I'm looking for clarification on what those circumstances are (or whether in fact 8.3 is a clause which needs altering due to its inconsistency with other stated conditions)
"Should the agreement be terminated by Sellaband before reaching the goal, the believer is entitled to repayment of the amount that the believer has paid for one or several music projects, less the costs incurred for each individual part as mentioned in 5.4. This payment will be transferred to the Believer's Paypal account"
|
|
thor
Sellaband addict in waiting
Posts: 42
|
Post by thor on Mar 1, 2010 17:07:48 GMT
Ahh. I see. But 8.3 refers to a termination by Sellaband. In this case, the believer gets his/her money back.
Maybe this paragraph is a Lex Pieps ... though.. he never invested money ;D
|
|
xahmol
Sellaband addict in waiting
Posts: 34
|
Post by xahmol on Mar 1, 2010 17:08:28 GMT
The question arises because of section 8.3 in the believers T&C which suggests that there are some circumstances in which money could be paid back out to a believer's Paypal account. (...) "Should the agreement be terminated by Sellaband before reaching the goal, the believer is entitled to repayment of the amount that the believer has paid for one or several music projects, less the costs incurred for each individual part as mentioned in 5.4. This payment will be transferred to the Believer's Paypal account" I think the important words are 'terminated by Sellaband'. So if the artists stops/leaves you do not get a refund, but if SAB terminates the agreement you do get a refund? Of course the question than is why/when/how would SAB terminate the agreement.
|
|
michel
Sellaband addict in waiting
Posts: 5
|
Post by michel on Mar 1, 2010 17:36:18 GMT
Please extend the 2 weeks deadline while you're sorting out all the answers. Accepting those new terms is not a fair thing to ask when there are so many open questions
|
|
thor
Sellaband addict in waiting
Posts: 42
|
Post by thor on Mar 1, 2010 18:45:05 GMT
Please extend the 2 weeks deadline while you're sorting out all the answers. Accepting those new terms is not a fair thing to ask when there are so many open questions It would have been smarter to do a restart under the old T&Cs, and at the same time announcing an imminent change in a month or so. In the meantime, everything could have been explained, without forcing the believers to make a decision immediately. Maybe it's already too late, now that believers have already removed a lot of money...
|
|
|
Post by mawa on Mar 1, 2010 19:38:07 GMT
You terrible people ... guess you have scared Franz off already
|
|
|
Post by grooveduke on Mar 1, 2010 19:43:06 GMT
I think it was smarter on their part from a business standpoint to stop the bleeding ASAP. Think about it. Just ride out the next 4 weeks and that's the lowest your escrow account will ever get...
Then Role out a new change in the following weeks and there you have it: new site but you didn't have to start from scratch.
|
|