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3 years ago

Is there a defense against an "intangible goods" explanation in a Paypal dispute?

Long story short, I've been ripped off by Scriptlance.com

I deposited money into my Script Lance account using PayPal. The work that I outsourced hasn't been completed and for some reason, scriptlance suspended my account.

After submitting a support ticket and not receving a reply, I filed a claim with PayPal to get my money back.

Scriptlance has replied in the PayPal case saying that, "The deposit in question is meant for services which categorize in Intangible Goods. Kindly close this dispute at the earliest and restore the funds to our Paypal account."

This is the first time that I've ever had to deal with Paypal's dispute process. Has anyone had a similar problem or can you find any information that can help me get my $40 back?
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onek's Avatar
onek | 3 years ago
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Seems like you are not alone:

http://www.paypalwarning.com/paypal_does_nothing

PayPal basically defends the hell out of itself, in its own User Agreement, so it doesn't have to pay for those losses.

You could try and bring this matter to court, but you would spend much more money winning this cause that the money you are trying to get back. You know, sometimes the best thing is to ask nicely and hint that you can do something a bit more nasty if they don't refund you.

I'm thinking you could suggest you would bring this matter to the attention of the media, be it online tek shows or the mainstream media. There are a few other angry users out there, and PayPal probably won't want the bad publicity.

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philipy | 3 years ago Report

Interesting and scary site. Though it looks like they're trying to sell their own alternative payment processing as well, which makes me uncomfortable.

Apparently a few years ago Paypal settles a class-action lawsuit for over $9m. Might be time for another one.

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robbrown | 3 years ago Report

Thanks for the link Onek... can you find any other people like this?

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pensivefox | 3 years ago
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If the service you paid for could be described in your own justified definition as "tangible," as in a service that is required X amount of individual objectives that need to be fulfilled in order to claim the title of the "good" that you purchased, then write about that in some way. A potential way of wording such a rebuttal: that there is missing parts of the project you paid for, which are essential in attributing to the integrity of product, in order to deem it as "TITLE OF GOOD OR SERVICE." OR- After closely consulting with my attorney, we have came to the attributed conclustion that in order for the serviced good in question to redeem the title of "xxxx", and thus, being deemed a value of $40 it must have met this criteria, etc.

They neglected to complete the commissioned assignment, and Scriptlance is attempting to unethically breach your aggreement; since I assume you paid a set fee for a uniform service (the $40), and thus you are entitled to get what you paid for to the complete extent of the exact amount of work valued at $40.

If that didn't work towards a complete or partial refund, completion of your outsource, I'd also request a complete attributed breakdown of the entire $40.
source(s):
I have been in one Paypal dispute where I was totally in the right, and wrote what I believed to be affective defenses, rebuttals, etc.

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robbrown | 3 years ago Report

I gave this a go with paypal. However, they said that any 3rd party "outsourcing" site is intangible and they are not responsible for the programmer or the rules of script lance directly.

This sounds like a bit of a cop-out from PayPal.

Looks like there is no defense and I'll have to take up my issue with my Credit Card company and small claims court here in Ontario.... or just let the $40 go... but I think that this has "irked my chain" enough to spend the time filing the court papers - I doubt SL will show.

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bklynjs | 2 years ago
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First even if you can't get satisfaction from Paypal you can always dispute the payment with your credit card company and do a chargeback. In addition if you have to take them to Court when you win you get back your filing fees. You won't get back an Attorney fee or loss of work for a day fee but you can also sue for a distress caused by the Company to make up for it. Just make sure you look into whatis necessary to file as if you act by yourself you will be held to the same standard as an Attorney.

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dannyjohnson | 3 years ago
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After a five minute googling session, I have to ask the question: "Is the problem Paypal or Scriptlance?"

I understand you are trying to get covered under Paypal's Buyer Protection policy (or whatever its called) but it seems like the problem is Scriptlance.
I found a LOT of complaints about Scriptlance, mentioning an employee named Sanjay and another one named Rene Trescases who has caused problems in the past.

I'd try to call SL and speak with someone else, maybe someone there can do something.
Go ahead and file complaint with the BBB and anywhere else you can file, maybe it will help as well.

As for Paypal, yes, it stinks. Its an eBay company and they are out to make a profit. They also have to look out for their business model as they probably make a lot of money from SL in fees.

Sorry if that didn't answer your question...

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robbrown | 3 years ago Report

Thanks for your help, Danny!

You're correct - the problem is with Scriptlance.

I have tried calling (left 2 messages) and have left a handful of support tickets in the Scriptlance system. They've each been closed (I think manually) within a few hours of opening the tickets.

So, I'm left to try and recoup my money with Paypal.

I've also called my credit card company. Luckily, my paypal account is linked to my business credit card that has a high limit, good history and insurance features. They're looking into this as well and have already offered to "charge back" payapl for the funds. However, in researching this, I've learned that the funds in my paypal account will be frozen so I'm quickly trying to transfer them out before giving the go ahead for the paypal chargeback.

What a mess.

Interestingly, it looks like R3N3 / Scriptlance is located in Toronto. If I have further problems with paypal or scriptlance about this beyond my credit card chargeback I think that I'll open a quick and easy small claims case. I'll likely break even on the $40 after the case, but my point will be made and I'll be able to reference a ruling when I help others with this sort of problem.

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paypalwillnothelp | 2 years, 2 months ago Report

I am having a problem with a company called Smartinfosys.net and the contact person's name is Sanjay as well but he's located in India. Only difference is I paid $535 for a webdesign and they promised me the website would be designed and fully operational in 28 days. There are only 2 items on the "test" website and Paypal told me it's intangible after they completed a 2-wk investigation. I don't know what to do at this point. I think this Sanjay may be the same person. Can anyone out there help me?

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