On Thursday, February 27, 2014 11:35:06 AM UTC-5, Mark Adams wrote:
> Thanks Hannah for your detailed response. I appreciate the service your 
> website is offering very much. In regards to your explanation about Dropbox 
> no refund policy, though, I wonder why the concept of "pro-rata" seems to not 
> apply here? Isn't it completly fair to both the business and the customer to 
> simply charge an "early opt out" customer the full, non-discounted price for 
> the time actually used? 
> 
> 
> 
> In my case with Dropbox, I paid $99 year upfront for "Premium" account, to 
> obtain a discount from the $9.99/mo if paid monthly fee. It seems quite 
> reasonable (and trivially easy through the use of computerized billing 
> systems) to calculate the non-discounted monthly fee for the time used and 
> then refund the difference--or even charge a "cancelation fee" of a small 
> amount. But to keep the entire years fees? That's not reasonable, nor ethical 
> IMHO.  
> 
> 
> 
> Unlike physical products that are handled, packaging opened, reduced in value 
> in some way, damaged, un-resellable, etc. Dropbox's storage service is not 
> harmed by my cancelation of unwanted/unused cloud-based services. Revenues 
> are reduced--sure. But if they prorated my refund back to the monthly fee, 
> they would have earned exactly what a person paying monthly would have paid, 
> and thus be in no worse position whatsoever-- even from a revenue aspect. And 
> if as you say, this is becoming the norm for cloud-based services--that's 
> just sad. 
> 
> 
> 
> mark adams
> 
> 
> 
> 
> On Thu, Feb 27, 2014 at 7:44 AM, Hannah Poteat <[email protected]> wrote:
> 
> 
> A clarification: the reason for ToS:DR isn't to expose anybody at all. It's 
> to inform users about their rights under the terms of use agreements they're 
> asked to agree to. 
> 
> 
> 
> "No refund" policies are legal as long as they're clearly and conspicuously 
> marked prior to purchase (and the law assumes, rightly or wrongly, that 
> consumers read the terms of use agreements prior to using a website, so are 
> informed about policies like this prior to purchase). Also, a "no refund" 
> policy like this one is very common for a prepaid, recurring service like 
> Dropbox's: it's rare to find a similar service that does offer refunds. 
> 
> 
> 
> Let me explain why: let's say you're a small business owner. You offer a 
> service online where users can sign up and pay for each month in advance, on 
> a recurring basis. A user signs up at the end of January and pre-pays for 
> February. On February 27, after nearly a full month of use, the user cancels 
> his account and demands a refund. Here's another example: let's say you're a 
> small business owner. You offer a service online where users can either have 
> a free account that comes with a monthly data cap, or they can have a paid 
> account that has no data cap. A user signs up for the paid service and 
> pre-pays for February. By February 4, the user has transmitted more data than 
> he would have been able to with a free account. On February 5, the user 
> cancels his account and demands a refund, arguing that he hasn't used it for 
> a full month and should be credited for the unused time...however, he has 
> clearly gotten full use out of the paid service. Enough issues like these 
> crop up, and businesses simply adopt a "No refunds" policy.
> 
> 
> 
> Of course, some businesses do offer refunds on a discretionary basis. Not all 
> do, though, and it doesn't make a business necessarily bad if it chooses not 
> to.
> 
> 
> 
> Hannah
> 
> 
> 
> On Wednesday, February 26, 2014 5:53:23 PM UTC-8, [email protected] wrote:
> Surprised Dropbox isn't on the BAD list for having a NO REFUND policy on 
> their accounts...this doesn;t seem fair--a perfect example of the reason for 
> tour website (to expose these companies). Here's the fine print...
> 
> 
> Dropbox Premium Accounts are prepaid and are non-refundable. DROPBOX DOES NOT 
> PROVIDE REFUNDS OR CREDITS FOR ANY PARTIAL MONTHS OR YEARS. You may cancel 
> your Dropbox Premium Account at anytime, and cancellation will be effective 
> immediately. If you wish to cancel your Premium Account you may do so via 
> your "Account" page. Should you elect to cancel your Premium Account, please 
> note that you will not be issued a refund for the most recently (or any 
> previously) charged monthly fees.
> 
> 
> 
> 
> -- 
> 
> Mark Adams
> San Jose State University eCampus/Academic Technology
> Project Director -- PDEEP (Pakistan Distance Education Enhancement Program) 
> 
> PDEEP Website: http://sjsuaiou.wordpress.com/
> Campus Office: IRC 206
> 
> One Washington Square
> San Jose, CA 95192-0135
> 408.924.2618 / cell 503.956.8760
> 
> Skype: PDEEPOnline
> 
> 
> I have always thought it possible to live a GREAT life. Beyond all the 
> nightmares we hear about in the news there is a larger world surrounding us, 
> not just the resplendent world of nature, but also our own potential as 
> people to live well, to connect with each other, to do meaningful work, to 
> make powerful art, and to forge a different kind of future for ourselves and 
> for the next generation. -- Andy Couturier  "A Different Kind of Luxury" 

Mark I agree, I have not used the service at all. I found that I did not need 
it and asked for a refund.  I don't expect the full amount back but give me at 
least 6 months worth.  I think its unethical for there to be a NO REFUND policy 
on a service like this.

-- 
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