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Sorry to read of your current problem with a sponsor samebb.
I fully understand the importance of a sponsor's TS and their right to fully protect their brand and property(ies). If I was running a program, I certainly would have had the professional courtesy to explain, even via form email, the whys and wherefores for the violation/cancel.
It appears though that some sponsors think they are only doing a favor to affiliates, seeing no need to explain why an agreement was canceled. There was another thread where CorbinFisher plans on ending their agreement with hundreds of webmasters.
As a sidenote, personally, I avoid sponsors that use cascade billing, my feeling that many sales would never be accredited.
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