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My eBay PayPal Nightmare!

How eBay botched up my auction, pit the buyer against the seller, bred mistrust, misappropriated funds, and absolved itself of all responsibility...

I realize eBay war stories are a dime a dozen but here’s one more. It was your typical auction for a Nikon Lens. I priced it well, waited ten long days, politely answered numerous queries by email, garnered two bids -- one snipe in the last 30 seconds -- and got a sale. Whoopee! The customary email from eBay arrived with the congratulatory subject line; “Your eBay item sold!

Seconds later the listing page on eBay refreshed announcing that the buyer had paid through PayPal. Ever vigilant, I logged onto PayPal to confirm the payment. I never trusted PayPal but the buyer’s funds were there. I put in a request for the funds to be transfered into my bank account, noted PayPal’s fee, and logged off. Gloating, I sent the buyer a courtesy email informing him I was packing the lens and sending it. That’s when eBay botched up the deal!

Exactly 13 minutes after the auction ended -- I don’t know if there’s any significance to the number -- I received a rather ominous email from eBay.

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From: ended@ebay.com
Subject: MC018 eBay Listing Removed: Search and Browse Manipulation ( 211996066)
Date: June 6, 2008 10:56:11 AM PDT
To: Michael J. Weber

120266505379 - RARE NIKON AF NIKKOR 70-210 MM 1:4 F/4 - MINT LIKE NEW!

The listing was removed because it violated the eBay Search and Browse Manipulation policy. The violation occurred when you included the following information in your listing:

in title: LIKE NEW

We notified members who placed bids on the item that the listing has been canceled. Sellers are not permitted to include any information that does not describe or is not directly relevant to the item being sold within a listing. Any information included within a listing that may misrepresent the terms of sale is also not permitted.


What? Firstly, the lens was “like new”. The 14 shoppers on eBay who put “watches” on the auction read that it had only been used once or twice. But rules are rules, you say, no matter how arcane. Valid point. So, why didn’t eBay end the auction on day 1, 2, 3, 4, 5, 6, 7, 8, 9, or 10? More to the point: Why did they end it after it ended? Isn’t that an oxymoron? As Yogi Berra once said "it ain't over til it's over". It was over! Why did eBay pull the auction after the buyer paid PayPal and I transferred the funds? Doesn’t eBay own PayPal? Is this not your classic case of Peter not knowing what Paul is doing and the left hand not knowing the right?

The buyer was as confused as me. He forwarded the following email sent by eBay to him. It’s wording is misleading and dishonest.


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MC024 eBay Listing Removed ( 211996066)

Dear Sam,
Thank you for your bid on the following auction-style listing:

120266505379 - RARE NIKON AF NIKKOR 70-210 MM 1:4 F/4 - MINT LIKE NEW!

Unfortunately, eBay has removed this . All bids or offers on this listing have been canceled. Because the listing was ended, you no longer have any obligation to purchase this item. If the seller chooses to relist the item, you're welcome to bid on it again.

Listings are removed for different reasons. For example:
- The way the item was listed may violate eBay policy.
- The removal may be part of a separate action taken by eBay that is unrelated to the listing itself. 

We hope you understand that, due to privacy concerns, we're unable to discuss the details of why this listing was ended. However, please note that the removal of this listing should not suggest that this seller's standing in the eBay Community has been called into question.


Michael,
Got the following message from Ebay so are you selling it or did you cancel it?
Sam


Note that eBay led the buyer to conclude that I canceled the auction. Why did eBay word their letter to make it appear that I was at fault? Was it my privacy that they really cared about or were they covering their own sweet ass? And why didn’t eBay copy me? Note that I received this email through the buyer, not eBay.

I began to smell a Phishing attack. Had the buyer scammed me somehow by redirecting my browser to a phony eBay and PayPal site? It wouldn’t be the first time but that didn’t add up. The buyer seemed legit. A torrent of emails between us ensued even as we were both logged onto eBay and PayPal in the background trying to make sense out of their nonsensical behavior.

Sam,
I'm selling it! Can you believe these arrogant a-holes canceled the auction after it ended? I'm stunned! How stupid can they get? Anyway, I know you paid and I'm about to ship it unless you have any objections?
Michael
PS: For you edification they ended the auction because I had "like new" in the headline. FYI/the lens is like new! 

Michael,
I just sent you a message and I understand what you are saying and I believe you but the problem is they are in the process of returning my funds to my account (within 48 hours business hours).  I would hate to tell you go ahead and ship it to me then we have a problem where they will refund me the money and take it out of your account and I have your lens, I would rather wait till Ebay sort out the money issue then talk other wise you and I will be wasting a lot of time.  As you can tell I am very prompt at paying for items I purchase but I am much more concern that you may get the short end of the stick on this.
Sam

Sam,
I agree. I suggest we hold a private auction on eBay for $177.50 after we're both assured that our accounts are straight on Paypal. It would be new auction and new deal therefore it should pose no problem for eBay or Paypal.
Michael

In the interim the buyer received another cryptic cover your ass email from eBay absolving the company from any involvement and leaving to buyer to essentially fend for himself. After botching the deal and taking his money eBay told the buyer to go screw himself.

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Dear Sam,
Thank you for writing eBay in regard to item number 120266505379. You've
mentioned in your email that you already paid for this item before it
was removed from the site. I also gather from your email that you would
like to know your options on how to get your money back. I understand
your concern and am happy to help you.

eBay removed the listing that you were bidding on because it violated
eBay policy. Due to privacy concerns, I am unable to discuss the details
of why the listing was ended.

Because this listing was ended, you and the seller will not be able to
leave Feedback for this transaction.

We also feel that it is important to assure you that the timing of this
auction being cancelled by eBay is in no way related to your payment. We
were not aware of your payment when the auction was cancelled. The two
are purely co-incidental.

Since you have paid for the item, we encourage you to consider taking
any one of the following actions (please see the details below):

-- Contact your Seller --

We encourage that you contact the seller to see what can work for both
of you. However, because the item you reported has ended and is no
longer viewable, you cannot request your seller's contact information
through eBay. Instead, please reply to this email, we can send you the
seller's name and telephone number. Be sure to include the Item number
and the seller's User ID in your request. At the same time, your
transaction partner will receive a copy of this request which includes
your own contact information.

-- File a Dispute ?-

Sam, if direct communication with the seller doesn't resolve the
issue, I encourage you to open an Item Not Received or Significantly Not
as Described dispute.

You can open a dispute once at least 10 days -- but no more than 60 days
-- have passed since the date the listing ended.

To learn more about the Item Not Received or Significantly Not as
Described process, go to:

http://pages.ebay.com/help/tp/inr-snad-process.html

Since you paid for the item using PayPal, your purchase is covered up to
$200 at no additional cost.  However, many transactions are covered up
to $2,000 by PayPal Buyer Protection.

For more information about how eBay protects buyers, go to:

http://pages.ebay.com/help/tp/isgw-buyer-protection-steps.html

-- File a complaint with IC3 --

Lastly, you may also consider filing a complaint with the Internet Crime
Complaint Center (IC3). The IC3 is a partnership between the Federal
Bureau of Investigation and the National White Collar Crime Center. They
will review complaints and refer information to the appropriate local,
state, or federal agency.

To file a complaint with the IC3, go to:

http://www.ic3.gov/

If you need further assistance, please don't hesitate to reply to this
email and let us know.

Sincerely,
Jeanette
eBay Customer Support


So, eBay screwed the both of us, the buyer and the seller! The buyer emailed me this proposal in a panic.

Michael,
This is amazing now Ebay does not know what they are doing.  Michael we can do either one no that they have not put the money back into my account and is still in your account.  

Option 1
1. You can send me the item I purchased and we both will not have feedback which is fine for me.  That way I can attach a message upon receiving the item that you have sent  to you and Ebay.

Option 2 
2. I start up this stupid dispute we get the money return to my account then start the private auction.

I am fine with either one the only question I have about option 2 is will there be a negative issue on your account or mine or will they just got through the procedure and not have any issues.  I am fine either way just let me know which option unless you have a better way.
Sam

Ebay had set such a Kafka-esque nightmare in motion that neither of the buyer’s options were now viable. I replied.

Sam,
This is a travesty! eBay's actions are inexcusable! I'm certain Paypal will screw it up further by withdrawing the funds they're depositing in my account to cover their wicked stupid ass and then deposit it back in your account. Rest assure, I'm on your side. I'm afraid we can't proceed with either of your options until we mutually communicate our displeasure to Paypal and eBay and demands that they straighten out this mess.
Michael

I wasted ten days including a nightmarish morning after on this debacle of an auction and my blood was boiling! I sent eBay a threatening email.

I will be filing a complaint against eBay for taking this inappropriate punitive action. For eBay to have botched a completed business deal over such a questionable infraction opens your judgement and behavior to legal damages. As such I reserve the right to pursue a class action suit. Shame on you!

I thought perhaps eBay would come to its senses and take some remedial action. But the next day they sent me this snotty reply advising me to sue them.

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Dear Michael,
Thank you for writing eBay in regard to your ended eBay listing
120266505379.

I can see that you are not satisfied with this matter. Regrettably, eBay
is no longer able to communicate with you about this matter. The correct
means of initiating a lawsuit varies by jurisdiction. Please understand
that I am not in a position to provide you with any guidance on this
legal subject. If your attorney wishes to contact eBay, he/ she may do
so. For a better understanding of our listing guidelines and how they affect
the way you list your items, please visit the following URL:

http://pages.ebay.com/help/policies/listing-ov.html

We thank you in advance for your cooperation, and wish you luck with
your future eBay transactions.

Sincerely,
Granger
eBay Customer Support
Trust and Safety Operations


As the guy who wrote the original bible on Internet auctions (
Confessions of an Internet Auction Junkie) I’m appalled how far eBay has sunk. In acquiring arguably the most despised service in the history of the Internet, PayPal, eBay has taken on PayPal’s worst characteristics to become the second most despised company on the Internet. Rarely have I witness such arrogance and hubris in light of such bumbling.

I wonder how many deals eBay and PayPal botch up like this every day? Hundreds, perhaps thousand? I think I’ll take their advice. If there are any class action attorneys reading this who think it’s a good case please contact me.