A Cautionary eBay Tale

Will Clegg

Veteran
I apologize in advance for this, but I need to vent (BADLY) and I think that there are probably a few people on this board that can empathize.

I sold an XServe Raid on eBay in March for about $3200. Didn't have any use for it anymore as I was done editing my feature, and I figured I could use the money to get the DVD of the feature replicated and then start selling it. The guy who bought it has private feedback, which I didn't even know was possible, and immediately makes me nervous. However, eBay allows it, and I am going to give him the benefit of the doubt. I have to, right?

He is pretty good about communication - I am concerned about shipping it safely, so I suggest that he pay for insurance (this was mentioned clearly in the auction). He tells me NOT to insure it through UPS, but includes very specific packing instructions. We negotiate a final shipping amount based on his instructions, and I take it the UPS store. I decide that I am going to just insure it myself, because I don't want anything going wrong. Total shipping + insurance costs me almost $400 (he only paid $160), but I think it is the best move. On March 17th, he personally signs for receipt of all 4 boxes.

A few days later, I haven't heard anything, so I send him an email saying (paraphrasing) "Saw you received the packages, hope everything is good. Let me know if not." No response. I assume we're done. I know I shipped a good, working, clean Raid, and I know he has received it.

Two weeks later, I get an email. He claims that the chassis is damaged. He says the bezel is twisted like a Z, and that the drives for slots 1, 7,8 and 14 won't slide in. This is an incredible claim, and if you don't understand why, here's a picture of an XServe Raid chassis: http://www.herbalmedia.com/raid_chassis.jpg

Imagine the force it would take to twist this thing like Z, so that the center column bends in the middle. Also, how would it be possible for only those drives to not fit, but the other slots are fine? I'll save you the time - it's not possible.

Of course, I'm not thinking about this, because I get this email while I'm on vacation, a month after the transaction, and weeks after he signed for the packages. He is claiming very significant damage, which makes me wonder why he would sign for the package - the damage had to have occurred in transit, because I was using the Raid the day before I shipped it.

I immediately ask for pictures of the damage, and I tell him that I will contact UPS as soon as I am back in the States. No response. None. I still have never seen any evidence of the damage, btw.

I do contact UPS, and they are happy to investigate. Step number one is the driver goes to inspect the damage to the package. I say great, let's do it - I fully insured the package. But when I tell the buyer this, he says "I threw away the box. :("

Well, that's not my problem, but I tell him to go ahead and go through the motions with UPS, as they are responsible for any damage in transit. No response.

In May now, UPS calls me to ask about the status. I say I have no idea. They ask for the buyer's, so I ask him if it's ok to release his phone number and email to UPS. He says ok, so I do. Now I am thinking, finally, I am done with this.

Except that I woke this morning to see that his credit card company has issued a chargeback for $1100 (the insured value of the package containing the chassis). Paypal immediately puts ALL of the funds that he transferred to me on hold, so my account is currently at -$3200. I responded immediately with all the pertinent info, including the tracking number which links to his signature, but Paypal says I may have those funds on hold for at least 75 days. This is almost FOUR MONTHS after the transaction.

But here's the kicker folks - it may take up to 75 days to get this chargeback reversed. But Paypal said that the collections process could be initiated after 45 days. So Paypal may send collections after me to recover more than the chargeback amount, while the disupte is still open, and when I have done nothing wrong.

I won't assume that this guy is trying to scam me, but it is a distinct possibility. The whole point of this is, if you can help it, don't sell anything expensive online. I can't imagine that people buy and sell cars, homes, and other items worth so much in a marketplace that is so dangerous, even when you take steps to protect yourself.

Whew. If anyone actually read this whole post, thanks for listening.
 
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Wow, that sucks. I've never sold anything on Ebay and I'm pretty sure that I don't want to, now. I hope everything works out for you and that this guy gets what's coming to him if it turns out that he is, indeed, a scammer.
 
I'm really sorry this happened to you, and hopefully you'll get your money back. But as I said in another thread that dealt with eBay - I have never bought or sold anything on eBay because the risk of scams is just too high. And it confirms my strong dislike for PayPal - people constantly ask me to use paypal and I refuse... you have eloquently described one of the many, many reasons not to use paypal... I will never ever use paypal - for me, it is credit cards all the way. Hope things work out for you.
 
Wow, Sorry to hear that.
After working at a Broadcast server company for about a year, i have seen how much these machines can get damaged in transit, and i wouldn't be surprised that much if the drives didn't slide in just perfectly, Or the rackmount flaps are tweaked.
 
of course he is trying to scam you, you said it yourself "impossible" right?

I saw this happend to a friend, the sad part is that these people know the loopholes to paypal and they use that to their advantage, what is going to end up happening is that neither you or him will be able to use your paypal accounts if this turs ugly
 
THere's nothing worse than trying to do everything right and getting screwed anyway.

I used to work for UPS and I was shocked to see how some packages were treated, so I wouldn't rule out some damage. But that's not YOUR fault, especially when the complaint came in a month later. It's one thing to buy something, then try to use it a month later and find there is some mechanical or electronic glitch. It's another to "not notice" that what you bought got run over by a truck.
 
Basically the guy has found a loophole and can get what he wants without having to pay for it. If the items were "really" damaged the buyer would have reacted much differently. He would have contacted you instead of you contacting him. And what's the deal with not wanting insurance. Hmmmm?

I am extremely sorry this happened and I don't envy the next few months you're going to spend fighting this. BTW Please fight it. Don't let this guy get away with it. A scam artist tried to take us for $6,000 years ago (before PayPal) but we fought back and eventually UPS paid the $6,000 and then went after the buyer. I hope they got him!

Good luck!
 
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PayPal dispute resolution is slow, but seems to work well and fairly in the end. I've been through it from different angles, as buyer and seller, and have always come away feeling good.

The important thing is that, it seems, you didn't have a PayPal balance, so you haven't really lost the money at this point... you just can't really use PayPal until this is decided. You seem to have proper documentation. Mail a copy of the information above to PayPal, and call them and talk to a human being about what's going on. It's a hassle, yes, but I think you'll be OK in the end.
 
Thanks guys. I am definitely fighting it. I am just frustrated that I have to fight it. No way am I going to leave it alone though.

I'm not ruling out any damage - I just can't believe that it was to the extent that he described, given the construction of the chassis and the way in which he reacted. Like I said, I won't assume that he is a scammer, but his behavior has made me consider it.
 
Yeah, I weirdly had a similar experience recently, and I wished I'd been more cautious about who I sold to. Usually we only worry about who we BUY from. Because the buyer usually sends the money first right? The buyer is way more exposed to fraud...or so you'd think.

In my situation, there was no fraud; however, the buyer was perhaps inexperienced or disorganized or both. I shipped a valuable camera item very carefully, with full insurance. It was in perfect working order when it left. When it arrived, the buyer asked some rather odd questions about the item, which I was able to help him with. Then nothing...until almost 2 months later, he claims that the item was damaged in shipment by FedEx! He said the box had arrived damaged, but he hadn't kept the box! And he said he only noticed the problem now because he'd been so busy. I contact FedEx and they say (a) it's way too late to make an insurance claim, and (b) the driver records any evidence of battered boxes on delivery, and no such report was made. So I'm feeling a bit suspicious but also wanting to do the right thing. Because hey, MAYBE it really was damaged in shipment. I offer to pay for repairs if he sends it to the manufacturer and copies me on their correspondence confirming damage and cost of repair. I never heard from him again.

Fortunately, I did not get any charges deducted from my paypal.

I'll be more careful to ask WHO I'm selling to next time, and to give a time limit on when I'll take any responsibility for loss or damage.
 
Yes, I meant to say: If there's a time limit, or any action required from the buyer, on your insurance claim, make that clear to the human being you talk to at PayPal (and in writing), and they'll (in my experience) take on the burden of contacting the seller about this... and if the seller is not responsive to it, that will be very favorable to your dispute.
 
I actually read the whole post, something I don't usually do when it's that long (:embarass:) but your story intrigued me. I am very sorry this has happened. I have never bought or sold anything online and am always very leary to do so, as I have heard stories like yours before. What doesn't sit well with me is how long he waited to contact you, and his obviously absurd claims. This whole deal smells of scam.
 
I actually bought something from Will before from the marketplace here. Comm , packing and shipping were all very professionally and very pleasant.

If i were to buy a $3200 product and it was damaged , you can be sure the buyer will know about it immediately and not months later.
 
Wow! Post a WARNING before showing us graphic photos like that. Seriously, I think I'm going to be sick.

:) :)

Hardware can definitely get banged up in shipping (just look at the example above) but the way the buyer reacted is what makes this scenario scammy.

Any one who receives $3,200 worth of broken equipment is going to take pics, send them to the seller, and keep all the evidence they can to protect themselves from losing their money. In this case the buyer made no effort to protect himself (no shipping insurance, no pics, no contact) because he never intended on paying any way.

Scam.
 
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