Tag Archives: Patreon

Potential Patreon Platform Problems

Hi everyone ^_^

I’m in the middle of writing the Weekly/Monthly Patreon update, however, there is some potentially troubling news I need to share with you all. If your’e in a rush, then skip to the end (I’ll put a line there) to see the summery and my plans to deal with it.

So …

Sadly, Patreon has recently lost a major legal battle that could see the business go bankrupt, which in turn is a major threat to the livelihood  of a lot of adult creators.

The details of the matter are somewhat complex, but I’ll do my best to  go into them without presenting any bias. Effectively, Patreon began  removing creators from the site who at the time had not breached the  terms of service (which in these instances were later altered to allow  the removal of these individuals). 

Recently a creator named Owen Benjamin was removed from the site, and him and his  followers explored their legal options against Patreon for doing so.  They discovered that they could request arbitration sessions in  California with Patreon under the terms of service. For each arbitration  case (and each patron of the ex-creator would be able to file  separately), Patreon must pay legal fees and up front $10k to the  arbitrator to be held during the proceedings.

Patreon attempted to legally battle this, and mid-way through the case  removed this arbitration clause from their terms of service. However, as  the legal case to shoot down the allowance for arbitration was already  in motion, and the grievance was before the change in terms of service,  the judge found against Patreon (and strongly so – Patreon did a serious  bad move by trying to change those terms mid legal case). Without going  too much into the law, as Patreon is only the middle man for matching  up these creators with their fans in payment contracts, this can be seen  as cases of tortious interference when Patreon (an outside business)  attempts to dissolve that contract. The law on tortious interference is  rather set in stone and well established.  

What this means is that Patreon will need to enter literally hundreds  (if not thousands) of arbitration instances against ex-patrons of  creators thrown off of the site. Each instance is rather costly, and  because Patreon needs to cover this up-front bond and the legal fees  will require a huge amount of usable capital. The problem is that  Patreon doesn’t really make that much money despite being considered  within the Silicon Valley bubble, and like most businesses most of its  capital is held in assets (like their building, stocks, etc). This could  conceivably see the end of Patreon due to bankrupcy, or it being bought  out by another major competitor such as Google or Facebook so they can  add a crowdfunding wing to their digital empires.

News Article (there are few good sources at the moment) -> https://www.i24news.tv/en/news/international/americas/1596377657-court-rules-against-patreon-fan-funding-service-in-key-case-over-cancelled-comedian 

In short, Patreon has legal issues that might bankrupt the business, leaving the future of the site and monetization for creators as rather uncertain.

So what does this mean for this Patreon Account? Well, it’s possible that Patreon might suddenly be off the internet, or come under new management that removes adult creators. As such, I implore you all to keep track of my alternative web-presences, such as;  my personal website (here), the TFGames forums (here), the F95zone forum (here), and the Foxtalestimes forum (here). You can also find me on the alternative monetization platform, SubscribeStar at -> https://subscribestar.adult/jpmaggers-games.

If Patreon were to fall, either suddenly or slowly, my plan is to convert fully over to SubscribeStar for monetization, creating all of the current tiers over here on Patreon over there. For patrons who currently are on the commission level tiers, I would also attempt to personally contact you to offer you the chance to grab those new SubscribeStar commission tiers first (as it’s not your fault by any means if Patreon falls under). Until further notice though, I’m still more than happy to keep working here, these procedures/precautions are only a just-in-case matter.

Sorry for the wordy and sombre update, but thank you all for reading. Happy gaming ^_^