Website refund... [help!]

[GT Web]

Hi everyone...

I have a situation which will probably get worse before it gets better.

Recently, I sold a website of mine on a domain forum (not this one). The sales post stated that traffic came from search engines and links, but mainly from free banner ads. I also said I never spent a cent advertising the site.

I found a buyer, he said he would buy the site ASAP, didnt ask any questions and sent funds 2 days later via Paypal. I deposited the money into my bank account and transfered the domain and website to him.

Now he tells me he found most of the hits are coming from banners on blank domains, which is true (and I stated in my sales post clearly). He wants a refund, but I am not about to do this. I am not sure what his next action will be, but I have transfered funds out of that paypal address I used to get payment for that site. I feel I am on high ground, because I was completely honest and upfront. Had he asked me for stats or examples to where the banners where, I would have showed him. I was not decieving him in any way because I had already stated these banners were a source of a large amount of the traffic.

What should I do about this?

Thank you very much for all your help...

[ps. for security reasons I am not disclosing the URL of the site - please do not metion it in your response]

 

[RMF]

You did nothing wrong. You should email him and explain that you did nothing wrong. If he is not satisfied with where the traffic is coming from, he should've asked you where it came from prior to purchasing the website. If anything, its his fault.

RMF

 

[Anthony Ng]

I guess some kind of peer pressure would do you some good. Good luck.

 

[GT Web]

thanks RMF!

That's what I did, I explained that he could have asked for more info and I would have given it to him. I dont feel I did anything either illegal or morally wrong. This is the case which I hate using Paypal, because I can almost guarantee my account will be suspended if he complains. I compare this to buying a car (like everything in my life) and asking what material the seats are made of. The seller answers leather and the buyer pays for the car and then wants a refund because the leather interior was not hand stitched tanned premium leather.

I really do not see what recourse he has, but most of all I am confident because I have a clear concience (sp?).

 

[Bionic]

It could be misleading, if you paid for the advertising space by buying those
domains, then took down the banners, that's not really free promotion. If
its not free traffic to him its not free. Sending typo traffic from my domain
to a site is not free traffic unless that's included in the sale. IMO, I hope it
blows over but PayPal can be a prick, they might see it either way.

 

[gph]

If you haven't spent the money already, consider refunding the guy his money. You never know how powerful a gesture like that can be down the road.

I did it with a domain name a few months ago, not because I had to, but because I just felt it was the right thing to do, under the particular circumstances. The buyer was so amazed that I did this, that a few months later he offered me an "inside track" on an amazing and now highly profitable business opportunity just because I was a "stand up guy".

Doesn't work every time, but something worth considering. Karma, and all that

gph

 

[mike031]

When you buy a site with traffic or a domain with traffic... Sure there might be traffic for a day, a week... a month but it can disappear easily, stuff happends... the buyer should really keep that in mind and before spending any $ at all should always try and predict what's going to happend in the future, do some research and think it over because when dealing with traffic it is always risky.... You did nothing wrong, the buyer obviously is going to have to take a loss because of being so wreckless, etc.

 

[GT Web]

thanks for the replies...

The thing was, I did not spend any money on those banner ads, they were and still are free. I sent him another email explaining that I would have been happy to let him test the traffic had he asked. I actually have spend a lot of that money buying 3 letter .info domains. He said he would cancel the charge on the credit card and let his creditors come after me, which doesnt make much sense, because thats his problem. It would be nice to see a lawyer comment on this, but I would rather keep it in this forum as friendly advice rather than legal help. I did mention that traffic was coming from free banners so I dont think it was misleading.

more comments are welcome, I really appreciate everyone giving me their opinion!

 

[mike031]

the bank/creditors cannot come after you.. if anything, paypal will refund his money and will then start an investigation, you will be fine... you got absolutely nothing to worry about, g'nite.

 

[dogstar]

I think if he does a chargeback, he will get a refund. Paypal will close his account. And then try to get the money from your paypal account. After that they will cancel your paypal account. This is what you are facing almost certainly.

 

[GT Web]

thats stupid, but I guess that's what happens with Paypal...

So what happens if there arent funds in my Paypal account?

I still feel I did nothing wrong, so why should I pay for his mistake?

 

[dogstar]

If there are no funds in the account, then paypal will close the account and it ends there.

 

[GT Web]

so I guess transfering funds out of my account was the right thing to do, but its still really stupid, I layed out all the info in the sales thread, I did my part correctly, and just because the buyer made a stupid move, my account gets closed...now I am starting to see why people hate paypal so much....argh...

 

[seeker]

I really can not figure out why paypal would auto close an account without investigation???

 

[dogstar]

The whole process will be an investigation. But if the chargeback is successful paypal will be on the hook so you better believe they will suspend/close those accounts.

 

[NameTower]

if anything, paypal will refund his money and will then start an investigation

not a chance

 

[aptimass]

I would likely give the guy a refund after the domain was returned to your control. There doesn't seem like a loss to you, as you are getting it back in the same condition you sold it to him as. I have sold several domains, and have refunded 3 of them just because they asked, no explanation necessary. I don't know about Karma, but I think it makes better business practices long term to try to do the right thing. Buying things with credit cards gives the purchaser a great deal of protection, and he is likely to get his money back, then I suspect that paypal will try to get it back from you. In the past paypal had a screw the customer mindset, and it was very difficult to get money back. It's not that way today.

My 2cp

 

[GT Web]

Thanks for the help and opinions...

The problem is I spent most of the money I recieved for the sale, so I can't refund him without alot of work and problems.

 

[NameTower]

by using paypal you forfeit ALL credit card protection pretty much as you are doing a transaction with paypal, who is then doing a transaction with the seller.

you pay paypal.

paypal has done their job as a middle man therefore nothing has been stolen, not as promised, etc.

no compensation will be awarded via credit card, at least in my expierience.

 

[Jack Gordon]

maybe I am being naive, but it might be helpful to get out in front of this with Paypal, explain to them in a short letter the relevant details, and let them keep that on file if/when this person files a complaint.