Affiliate Marketing Secrets

I work in e-commerce and we have recently discovered that our affiliates are automatically getting paid, even if the payment for the product failed.
Our website hosters who deal with our affiliate marketing are now claiming that we have to manually cancel any commissions on payments that fail (we have never been told this!), but seeing as we never received payment in the first place, surely this isn’t right?
We are now over £10.000 down for sales that never completed and were probably fraudulent! Has anyone had any experience with this as an affiliate merchant? Is there any legal leg for us to stand on as neither our hosters/marketers, nor affiliate company are taking responsibility. Any advice would be greatly appreciated. Thank you in advance.

http://truth-out.org/opinion/item/14355-…
Here’s My take why Commercial Progressive talk failed. In some markets Progressive talk were on fringe Radio signals. In some cities like San Francisco and New York Progressives had a radio spot on Pacifica Bradcasting like KPFA and WBAI. Also its that Progressives would choose different venues for their views to be heard than the right would.
I know in some cities the Right wing talk radio would kill off the Left Wing talk radio in the Arbitron ratings books. But in Places like San Francisco SportsTalk KNBR, all-News KCBS and NPR News/Talk affiliate KQED-FM would put Right wing radio and Left Wing radio at the bottom of the books at the same time and they are in the top ten in the books.
Also there were other factors like the rise of Podcasts kept commercial left wing talk them out of the ratings.