Lawsuit against PayPal: No Good Deed Goes Unpunished |
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Tuesday, 14 March 2017 Angry philanthropists have filed a lawsuit against PayPal, claiming the donations they gave through the online money transfer company to a variety of charities never reached their intended organizations, and were redirected to others instead, the New York Times the New York Times reports. One of the values of PayPal is ‘Powering Giving,’ a platform for PayPal users to donate to charities in their area or across the globe, and without any fee during the 2016 holiday season. Terry Kass, who brought the lawsuit with others, says she donated more than US$3000 to 13 non-profits listed on the site, under the guarantee that “100% of your donation will go to your chosen cause.” The suit claims that donations were withheld unless the charities had their own PayPal accounts, and the funds redirected to others. Charities listed on the PayPal website with their own profile pages, including their logo, mission statement, and tax identification number. But a number of the non-profit organizations claim they were unaware that they were listed on the website. PayPal writes under their “Frequently Asked Questions” (FAQ) page that organizations are notified when a donation has been made to them, and have six months to form an account to retrieve it. In response to the lawsuit, PayPal claims it does not redirect any of the money if the charity does not have an account with them, but merely holds it in a separate account as they continue to attempt to contact them. For more information about PayPal and the lawsuit against it, please follow the links below: Photo by Jack Moreh via Freerange |
By Chloe Bingham
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