I know someone who started a game with a substantial backing from Kickstarter. He was developing with then his wife, who was the major developer. But things went sour and they got divorced and the wife took the rest of the money for development of the game. He is slowly refunding all his kickstarter funders as best he can. Kickstarter is very clear you need to release a product or give out refunds. Problem is when product stays in development. Kickstarter needs to control how long projects have to come to completion in their terms. It says it on Kickstarters site: It is a contract between the creator and the backer to deliver those rewards as promised. Not a donation.
I am interested in Star Citizen. If it ever comes out, I'll definitely be buying it. But, at this point, I'm not even sure if it will ever come out, so I'll wait to give them my money.
These conversations come up every once in a while, and it always brings up the topic of Kickstarter and refunds. In my opinion, Kickstarter shouldn't make developers guarantee refunds if a product is not delivered, as long as the developer can prove where the money went (if all the money went to development but shit happened that prevented the product from being delivered, well, shit happens). I always thought of Kickstarter pledges as being capital investment. It might pay off one day, or it might fail utterly. I never sympathize with people who donate to something and never get a product. It's a possibility that people should be aware of when they donate. I donated to Harebrained Schemes' Battletech project because I love Battletech and they are an established publisher, though they have made some flops. However, it was money that I was prepared to lose if nothing came of it.
@Astarties Kickstarter says in it's explained terms that it is a contract between the creator and the backer for the specific rewards listed. If a creator can not deliver what is promised, they are open to legal troubles. They either have to deliver something or give a refund. It is that simple. Creators shouldn't go into a project on kickstarter unless they know they can actually deliver the project, however there is no time limit on how long that should take.
@TheBaldr I know what their terms say, but I disagree with how they are set up. Because it just makes Kickstarter, from the perspective of a backer, be a glorified pre-order platform. From the perspective of a creator/publisher, it's a way to generate capital for their project. Sometimes that never pays off, just like any other project that you might convince capital investors to invest in.