JD, I tried to explain to these people how it works - a few times actually. No one got the hint. So I just ignore it mostly.
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It should be:
An item, or 'lot', are offered for Karma (pay it forward or whatever).
The 'offerer' sets a time (normally 5-7 days) for people to say "I'm in" or whatever. At the end of the given period, a name is pulled from a hat, or some similar 'fair' method, and that person wins it - PERIOD!
No money, except maybe shipping!
No 'first dibs', a la Kyle!
It should be fair for all members to have a chance.
And the Karma winner 'should' offer up something else in the same manner. That's where the 'pay it forward' comes in!
I had a few things I wanted to put up for Karma, but no one got the idea, so I haven't bothered!