Back to Ganoksin | FAQ | Contact

Wholesale legality


#1

Complicated situation, any legal advise would be great… I recently
did a custom wholesale order for a customer who would be taking the
items to resell at a show. The terms were NET 30. The items were
sent USPS and insured, she received the items said everything looked
great and had them in her possession for over a week before she tried
to resell. While in her possession at her place of reselling,
customers broke the delicate chains (which she requested from a
sample) while trying to pull them over their heads instead of using
the clasps. She now wants to return these broken items at my expense.
Because it has not been 30 days, I have not received payment yet for
these items. (note: all conversations have been through e- mail.
Additionally, though this transaction was not through etsy, I have it
stated in my shop policies that all sales are final for custom
orders) Will I be able to collect on this invoice or should I write
it off, and if this is the case what should be done to protect
myself? Any advise is appreciated. Thank you all!

Sam
SAM Studio Designs
www.samstudiodesigns.com
www.samstudiodesigns.etsy.com


#2

Depends on how much you wish to accommodate this customer.

If ‘their’ customer broke the chain thru misuse, that’s your
customer’s problem. If your customer requested light delicate chains
then you fulfilled their request, you are not responsible after that.
They specified, you obliged.

BUT, look at what your cost will be to repair/replace the chain. If
its minor and you want to get repeat business you might consider
making the accommodation.

As far as their duty to pay, there is no question, they affirmed
they were satisfied with the order, they need to pay. They have no
basis to refuse to pay for the whole order. If it ever became a
proceeding, your willingness to swap a chain would be to your
benefit.

What you ‘could’ do, is agree to replace the chains after you get
them back…simply drag your feet until you receive payment and it
clears.


#3
customers broke the delicate chains (which she requested from a
sample) while trying to pull them over their heads instead of
using the clasps. She now wants to return these broken items at my
expense. 

I’m a bit puzzled. Under what theory is the customer seeking to
return the items? Is she now claiming they were broken when received?

Al Balmer
Sun City, AZ


#4

This story makes me so sad. First, a custom order (which I do not do
anymore) I would have sent COD. A few fees to collect the money, but
well worth it. Once she received the order, it is hers. Paypal would
have given some protection. Did you sell in your state of location of
business or across state lines? Most states have Small Claims courts.
I hope it was not a huge $ amount, whatever it was, count it as a
valuable learning lesson. Also, consider drafting up a return policy
and specify what is and is not covered. Before selling on line, I did
sell and only 2 choices: check, shipment after it cleared; COD, you
get your money before they get the product. I sold collectible dolls
and had no problems that way. Only galleries and gift shops I had
history with would I invoice. I offered a 15% discount on local
deliveries for payment upon delivery and that worked great. The only
big business I sold to was the Smithonsonian Museum Gift shops and
they paid in 10 days after date of invoice. They had a policy of
calling in the order, the clock started that day and FILL or KILL in
30 days. So I always met the 30 days and started bugging their
Finance department 1 day after the 10 days. So sorry to hear this and
wish you great success in the future. Contractingpeople use the term:
CYA and it is really important (cover your…)