I am not saying this is a common problem. It is a low chance but high risk for a new domainer. How do you expect a new domainer to react to this if they happen to lose their proceeds due to this loop hole? Just say, 'aww bad luck'?
This issue is not about one escrow provider. All major escrow providers have established their reputation and are trust worthy but there is a limit to what they can do when a buyer claims to not have received the domain or seller themselves transfers the domain. Simple solution is to provide domain escrow always, for tlds where it is possible.
Now how do you explain the fact that no seller has been motivated to blog about how he's been screwed by this flawed system? How about the fact that nobody on namepros has ever posted about it?
Not all sellers are domainers.... not all domainers are on NP. Someone tried to scam me out of a domain
years ago, at that time, I did not care enough to find a forum to report it. Just cause it has never been reported does not mean it has not happened.
The keyword here is CLAIM. Buyer or seller can claim anything they like. Think the scenario over. You will figure out how a rouge seller can claim the buyer transferred the domain away (
to a registrar other than intended ) or how a buyer can claim they did not receive the domain because it was already transferred away.
if this scam was as easy to pull off as people seem to think, I suspect we'd be hearing about it a lot instead of never.
Please do not mix easy with frequency of occurrence.
Just like accepting payment for domain sales by paypal? Every buyer can request payment reversal for domain sales but do most do? Domain sellers still 'risk' accepting by paypal. High risk does not mean high occurance. Just cause it is not happening frequently or not reported enough, does not mean it is not easy.
Before downloading became common, I used to ship my software on CD. For urgent requests, I used to ship before receiving payment. Over few years I had exactly only one person who did not pay up after receiving the software. It was commonly known among my buyers, I ship before receiving the payment so It would be easy for a new buyer to request urgent delivery and never pay. Just cause something is easy does not meant it will happen frequently and does not mean it will get reported.
Maybe escrow providers should ask the seller to send the EPP to the buyer for high value sales, perhaps we will see if it happens 'easily/frequently' or not
And you're not likely to get rich if you keep passing up on sales.
I keep passing up on lottery tickets. Haven't bough one in over twenty years, I guess I will never get very very rich. I am not going to pickup
bungee jumping either. (
Skydiving, I am fine with
)
You are comfortable with certain risk, good for you, it does not make the raised point wrong or that it will not happen. Bottom line is, it will matter to the person it happens to, and it may matter a lot to domainers who cannot afford such a loss.
If escrow services charge fees for escrow, they should provide domain escrow, at least for tlds like .com or be explicit like escrow.com which clearly says they will charge extra for it always.
If this was not an important point for some of the sellers and my guess is preferred, it would not be raised at all. It has already been raised twice at NP in last few weeks.