Escrow.com Holding Funds After Successful .co.uk Domain Transfer – Advice?

[Cubed Media]

I’m wondering if anyone here has had a similar experience or can offer advice.

I recently sold a .co.uk domain on Flippa. The buyer was based in Ukraine, so Escrow.com isn’t normally supported and Flippa told me I needed to arrange payment directly with the buyer. As the buyer claimed to have an Escrow account they could use, we initiated the transaction via Escrow directly.

Escrow.com confirmed funds were received and verified, and instructed me to deliver the domain. I completed an IPS tag change as requested by the buyer, and WHOIS now shows the new registrar — so the buyer clearly has control of the domain.

However, the buyer has now gone quiet, and Escrow.com is refusing to release the funds. They’ve since told me that transactions not created through Flippa’s platform cannot be released, even though Escrow explicitly told me to deliver the domain.

Flippa support is now involved, have suspended the buyer's account, and confirmed that they’ve contacted Escrow on my behalf — but no resolution yet.

Has anyone else run into this kind of issue? Is there any effective route to getting Escrow to recognise and release the funds in this kind of “off-Flippa” deal?

Appreciate any insight or shared experience as I'm worried the buyer may have played the system and I've lost the domain and won't get the funds despite doing everything both Flippa and Escrow asked.

 

[getmeingetmein is verified member.]

However, the buyer has now gone quiet, and Escrow.com is refusing to release the funds. They’ve since told me that transactions not created through Flippa’s platform cannot be released, even though Escrow explicitly told me to deliver the domain.

No idea about the integration between Flippa and Escrow.com - if Flippa told you to transact with the buyer directly then it's sounds like it's an approved 'off-Flippa' deal or otherwise you can see it as a direct escrow.com deal. In any event I think you should probably ask escrow.com explicitly why they are delaying the transfer - is it because the deal originated on flippa (if so Flippa as a big customer should have some clout) or is it because there is something untoward about the customer (if so - that's what you pay the escrow.com service fee for). Presumably if the buyer lives in a part of Ukraine not in the 'sanctioned' list right at the bottom - https://www.escrow.com/support/faqs/what-countries-regions-are-not-supported-by-escrowcom and they had a bank account in a supported country that would be ok. As you say if escrow.com approved the buyers payment and told you to deliver the name I think you'll be ok - from what I understand in the US they don't earn interest on money held in escrow so they have no particular incentive to hold things up. If escrow.com have the funds then there isn't really an issue about the buyer playing the system, so their reticence to get involved doesn't really matter - if they have defrauded escrow.com again I think that's a matter for escrow.com. If they have subsequently discovered the buyer shouldn't have been allowed to use escrow.com and are looking to reverse the transaction that's going to be a problem for them - as it seems the buyer is happy with the purchase. Anyhow, pretty sure you'll get this resolved with a bit of determination and patience.

 

[FairTrial]

Hi Cubed Media,

This is exactly why it is best to use Transpact.com for escrow when you can, as Transpact.com's systems do not allow the escrow company to hold up payment - if there is a genuine dispute (very, very rare on Transpact.com), then the arbitrator that you preset will force payment as required.

Also, the much, much lower cost of Transpact.com compared to alternative escrow providers will leave you with more wealth retained.

Once Transpact.com accepts a transaction and it goes Live, Transpact.com is committed to immediate payment out when dictated by the parties and the escrow conditions. It cannot hold up payment out, and the situation described here could not occur.

Of course, you could NOT use Transpact.com for this transaction, as Transpact.com does not service bank accounts in Ukraine, which is why you probably used Escrow.com for this transaction.

I imagine you are a customer of Escrow.com, who are a Government (Federal USA and State) regulated payment firm.
If Escrow.com are holding payment for you, and refusing to pay, then you should make a formal complaint to Escrow.com.
Escrow.com should explain to you exactly why they are not paying you - they are not allowed to be silent or ambiguous - they should clearly explain why payment is not made to you.
If you are not satisfied with their final response, complaint to Escrow.com's regulatory complaint body - they may be in a position to force payment (although that will depend on the specifics).

[Disclaimer - I work for Transpact.com - but it is a great company].