[genericuser]

If the event 'has' to operate in this manner, how will the event organizer provide refunds should something happen and they have to cancel their event?

I ask because planning an event in my 2nd hand experience of weddings and such usually involves more than a few non-refundable expenses, which seem like they would prevent them from being able to provide a refund to everyone in the event of a cancellation.

I mean it just seems like Paypal's established practice, of tying up event money unless it is proven that the money isn't actually needed and will remain available in case of a charge back, is a pretty reasonable one. I mean I have been written bad checks by roommates for rent before, it is pretty damn hard to get money from people who don't have it so despite taking legal action I still haven't seen any of the money, I feel like Paypal is potentially preventing many instances of this.

Edit: Thinking back on it many of the small events I have attended ask for a $X donation from people, who in return will receive a ticket. This seems like it would get around the issue in the same way Kickstarters which don't deliver avoid the issue.

[dragonwriter]

> If the event 'has' to operate in this manner, how will the event organizer provide refunds should something happen and they have to cancel their event?

One method would be for one of the things purchased with the current payments being insurance.

[genericuser]

Did not know such a thing existed, thanks. However as a minor clarification on what you said, after reading over a few descriptions by various providers it is clear however that the insurance itself would have to be purchased by the event organizer and reimbursed through the current payments, as the event insurance cost itself is not covered by event insurance. At least not in any of the lists of nonrefundable reimbursements I am looking at, so it would represent a small amount of money risked by event organizer.

So as long as an event organizer has bought event insurance already, and proves that to Paypal, then yes they should release the money.