5. Indiegogo’s Right to withhold or delay payouts
Indiegogo reserves the right to withhold, delay, or conditionally release funds collected during a crowdfunding campaign, Late Pledge, and Pledge Manager if there is a reasonable suspicion that:
- you are engaging in fraudulent, deceptive, or misleading conduct;
- you are unlikely to deliver the promised reward or service to Backers, for example due to material deterioration of Creator’s financial standing;
- there is a risk that the funds will need to be refunded to Backers, particularly where a high volume of refund requests is likely or reasonably foreseeable;
- there is a reasonable suspicion that the funds are subject to investigation, seizure, inclusion in bankruptcy estate, insolvency proceedings, restructuring proceedings, or any similar legal process, or that you are at risk of insolvency or bankruptcy, which may result in the funds being subject to such proceedings or in the inability to deliver products or services to Backers;
- you violate Indiegogo’s Terms of Use, these Guidelines, or applicable laws.
When Indiegogo identifies elevated risk factors, it may, at its sole discretion:
- require you to provide additional documentation, such as production agreements, fulfillment timelines, or manufacturing estimates;
- require permits or other authorizations issued by relevant authorities or regulatory bodies;
- hold a portion of the funds in escrow or release them on a milestone-based schedule;
- request personal or company guarantees to ensure reward delivery;
- restrict withdrawals or temporarily suspend some account functionalities.
Indiegogo will notify you via email and without undue delay of any decision to withhold funds, restrict account access, or apply additional safeguards, and will provide the reasons for such action. Depending on the nature of your Project, your track record, or the level of identified risk, Indiegogo may, at its sole discretion, require you to provide additional guarantees or security for potential refund or chargeback liabilities. Such security may take the form of authorizing Indiegogo to charge your credit card, a cash deposit, or any other form acceptable to Indiegogo.
You may submit a written explanation, objection, or request for review through Indiegogo’s internal dispute resolution mechanism by contacting the legal department (details available on the platform). Indiegogo will review such submissions and respond within a reasonable timeframe. Following the review, Indiegogo may uphold, amend, or revoke its original decision based on the outcome of the legal assessment.
Suspended funds will remain with the payment processor until the circumstances requiring the suspension cease to exist, or, where appropriate, be returned to Backers. Under no circumstances will Indiegogo transfer such funds to its own bank account.
Indiegogo shall not be liable for any loss, damage, or missed payment arising from the application of these risk-based measures, provided such actions are taken in good faith and for the purpose of protecting Users, preventing you from violating applicable laws, and safeguarding the integrity of the platform.