Looking for thoughts on a recent transaction

[zeitgeist]

Hello all -

Looking for thoughts on a recent transaction in which I was involved. Here are the facts:

(1) Buyer bought three cars from seller
(2) Seller shipped cars via UPS through a shipping store
(3) One car arrived broken. Hinge for moveable seatback had broken. Probably could be fixed in place without too much worry, but seat would be static.
(4) Per UPS policy, the shipper (in this case, the shipping store) must file the claim.
(5) Shipping store files the claim with UPS
(6) UPS does not contact buyer to examine the item or to collect it.
(7) UPS honours claim and pays the shipping store.
(8) Shipping store pays the seller.
(9) Neither seller nor buyer were particularly happy with the behaviour of the shipping store.
(10) Buyer requests money, but is told by seller that buyer must ship the item back to seller (at buyer's expense) before seller will send the money.
(11) Seller's main reason for requesting return of the car is
seller's concern that shipping store might request the model in the future.

So, my question to you is: Is it right for the seller to hold the claim money until the car is returned to them at the buyer's expense?

I won't even tell you which part I play in the situation. I would just like your thoughts.

Thanks!

BC

[jager]

I would say that from a legal perspective, title and risk passed to the Buyer once the Seller handed over the item to the shipping store. The Seller therefore has no right to withold the payment or claim the return of the model despite facilitating the insurance claim which he did on behalf of the Buyer.

[LC Torana]

It’s similar to insurance through Australia Post...
It is the seller who has to make the claim from Australia Post, and then transfer the money to the buyer.

If the seller has already received the money from the claim, why would the shipping store require the model at a later date. they would request it before giving the money to the seller.
The shipping store would have their own insurance for such claims and I doubt they would want or have any use for a damaged model, claims been filed, money has been handed to the seller, as far as the shipping company is concerned the deal is done and there is no reason for the seller to request the model’s return, if the seller wants it back it is at his expense….