Kickstarter Terms of Use Updated, Cancelled Projects Detailed

By   /   Sep 22, 2014

Did you ever contribute to a Kickstarter project that was successful but then got cancelled leaving you in the dark about what was going to happen to the game you wanted and the money you spent?

Well, apparently a lot of people were confused about it and so the company has redone the Kickstarter Terms of Use policy for your facilitation.

Their intention behind the update is not related to major changes but actually a simplification of the terms of use that have previously been in practice as well as some amendments.

This is being done so that the backers are not left in the dark by the developers either on purpose or involuntarily.

If you go and see the complete page of Kickstarter Terms of Use policy you will come across the ‘how projects work’ section where they have detailed specifically that.

In order to meet the remedies in case of a once-successful-now-cancelled project, the developers will need to have done few things:

  • they post an update that explains what work has been done, how funds were used, and what prevents them from finishing the project as planned;
  • they work diligently and in good faith to bring the project to the best possible conclusion in a timeframe that’s communicated to backers;
  • they’re able to demonstrate that they’ve used funds appropriately and made every reasonable effort to complete the project as promised;
  • they’ve been honest, and have made no material misrepresentations in their communication to backers; and
  • they offer to return any remaining funds to backers who have not received their reward (in proportion to the amounts pledged), or else explain how those funds will be used to complete the project in some alternate form.

While we are seeing a number of major projects getting kickstarted these days like Pillars of Eternity, Broken Age, Star Citizen and Wasteland 2 there are many that have failed despite garnering a lot of funds.

Clang, a sword fighting title had raised $500,000 but even then the developer ran out of funds on the title resulting in a cancellation of the project.

I am sure that a stricter policy underlining the duties of developers towards their backers would ensure better clarity between the two parties. However, the requirements given above are just one small part of the updated Kickstarter Terms of Use policy.

You can go here for the whole of it – or not, like we always do with the terms and conditions.

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