Affliction, I'm sorry you feel you were taken advantage of. Yes, I own a Luna Vendor house but, as Flutter says, I don't run a vendor. Well, actually, I THINK I may have a plant vendor if it hasn't quit on me (thus the reason I don't do vendors). All of the vendors at the house are friends, former friends or friends of friends. Over the past few years that I've run the house, we've never had a problem that I know of. It is completely based on the honor system and I tend to trust the people I let put vendors up.
That being said, I really would like to get to the bottom of this and see if I can help you. I don't understand how you can't use the orny unless it's a faction item? If you mouse over the orny, it should say someone's name on it and show that it's a faction item if that's the case. I'd like you to contact me to see if we can't figure this out and work this out.
If you would PM me here and let me know a time when you are around (give me a little notice), I'd be happy to meet you at the house and try to resolve this for you.