Ina Steiner EcommerceBytes Blog
News and insight focusing on ecommerce.
by Ina Steiner, Editor of EcommerceBytes.com
Sun Oct 11 2015 21:10:49

Scam Attempted on Car Owner Who Sued eBay

By: Ina Steiner

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eBay is settling a lawsuit brought by a seller, and in reading the complaint, it appears that the seller also ran into a scammer, an aspect not explored in his complaint.

eBay agreed to settle a lawsuit over its practices and fees relating to Buy It Now listings (while disputing the allegations). Luis Rosado tried to sell his car on eBay in 2011, listing it on three occasions beginning in February. The seller objected because when a buyer clicked the BIN button, eBay delisted the car, but when the buyer didn't pay for the item, eBay wouldn't reactivate the listing. 

He had paid $36 each time he listed/relisted the car, and he said eBay did not let him relist the item for the time remaining after the buyer came up empty.

Here's the part of the seller's legal complaint where it appears from his allegations that he encountered a scammer: 
 
"On March 8, 2011 - the seventh day, with fourteen (14) days remaining - a buyer clicked on the "Buy It Now" button. As a result, eBay automatically delisted the vehicle, thus preventing any other person from buying it. 

"However, instead of purchasing the vehicle by depositing funds into Plaintiff's PayPal account, the buyer requested that Plaintiff cash a certified check for more than the purchase price of the vehicle and send the difference back to the buyer."

The second paragraph describes perfectly what's known as advance fee fraud. Wikipedia describes it here:

"Many scams involve the purchase of goods and services via classified advertisements, especially on sites like Craigslist, eBay, or Gumtree. These typically involve the scammer contacting the seller of a particular good or service via telephone or email expressing interest in the item. They will typically then send a fake check written for an amount greater than the asking price, asking the seller to send the difference to an alternate address, usually by money order or Western Union. A seller eager to sell a particular product may not wait for the check to clear, and when the bad check bounces, the funds wired have already been lost."

Luckily the seller, Rosado, didn't fall for what had all the signs of a scam, but the fallout formed the basis of his lawsuit - eBay ended the listing (seemingly unaware of the buyer's attempted scam), even though the seller had paid for the full duration.

We'll have more about the lawsuit settlement in Monday's newsletter (available now here) and what you need to know about filing a claim to get a piece of the $1.2 million settlement if you are eligible.




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Readers Comments

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

by: Ebay Seller-Ebay Buyer This user has validated their user name.

Sun Oct 11 22:38:53 2015

Here is the settlement payment terms for Ebay sellers who qualify


Amount of Payments: Class Members who submit a Claim1 (see below) for a Non-Vehicle Listing will receive $5, and Class Members who submit a Claim for a Vehicle Listing will receive $10. Each Class Member can submit only one claim for a Non-Vehicle Listing and one Claim for a Vehicle Listing. The maximum payment to any single class member will generally be $15. If, however, the aggregate payment to Class Members is less than 25% of the Net Settlement Fund (the “Minimum Payout Fund”), then participating class members will receive checks for a pro-rata share of the Minimum Payout Fund.

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

This user has validated their user name. by: LasVagueness

Mon Oct 12 00:28:25 2015

The payout is bupkis, but I opted in to send a message to eBay.  

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

by: comet This user has validated their user name.

Mon Oct 12 01:08:18 2015

So--how DO you "Opt In"  to this?  

And yeah--most of these "Class Action"  suits payouts ARE bupkis--like this one--but some do actually get you actual hard cold cash--my sons SCION was a target of one of these and not only was Toyota forced to FIX the defects they also had to cut checks to hundreds if not thousands of owners for around $400 if I remember right.  Not a fortune but a decent amount of change.

SO--If you are eligible for one of these;  take the 5 mins to fill out whatever paperwork you might need to and send it in--you never know which one might pay off.  And YES it sends a MESSAGE to these companies.  Can you just WAIT to see what VW is going to be forced to pay out???  If your kid started Law School NOW they would prob be able to get in on that case by the time it hits the courts!  

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

This user has validated their user name. by: Marie

Mon Oct 12 02:50:34 2015

Boy it seems to me that most sellers that every did BIN listings would probably qualify for this class action.  I certainly know I do.  But with that said, it is hardly worth the time and effort to prove that for a whopping $15.

And for the court to think that a seller that has been selling since 2008 to now would only be damaged by a maximum of $15 is a real head scratcher too.

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

by: tradernick This user has validated their user name.
Web Site

Mon Oct 12 08:23:22 2015

When attempting to file the form online, I entered my phone number with dashes - .  But it said the phone should be 10 digits total.  So I removed the dashes and tried again then it said I had too many attempts in one week to submit the form.  Sigh.  Typical ebay, making it hard to do anything.  I'll try again in a week as I feel the form didn't get submitted.  Be warned not to use - in your phone number when trying to submit the claim form!

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

This user has validated their user name. by: IDKwhoIare

Mon Oct 12 09:07:26 2015

Ina doesn't say that one must Opt In or Out or Object or this (from letter) goes into effect:

''All Class Members who do not opt out of the settlement by following the instructions above will release the Released Claims, which are defined as all manner of action, causes of action, claims, demands, rights, suits, obligations, debts, contracts, agreements, promises, liabilities, damages, charges, penalties, losses, costs, expenses, and attorneys' fees, of any nature whatsoever, known or unknown, in law or equity, fixed or contingent, which they have or may have arising out of or relating in any way to any of the factual allegations or legal theories that were raised or could have been raised by Plaintiffs in connection with eBay’s ''Buy It Now'' option.With respect to the Released Claims, Named Plaintiff and all Class Members who do not validly and timely request to be excluded from the settlement, and each of their respective successors, assigns, legatees, heirs, and personal representatives, expressly waive and relinquish, to the fullest extent permitted by law, the provisions, rights and benefits of Section 1542 of the California Civil Code, or any other similar provision under federal or state law, which provides:

''A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM OR HER MUST HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR.'' ''

Sounds like eBay wrote that paragraph. ''...raised or could have been raised...'' Sounds just like the TOS!

I read it as: if you do nothing for this Action (hoping to get into a 'better' suit someday) that you will not be eligible for anything to do with Buy It Now in the future. A future CYA for eBay.

What do you guys think?

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

This user has validated their user name. by: IDKwhoIare

Mon Oct 12 09:17:13 2015

@Marie

According to a letter I received, a Class Member is:

''All eBay sellers in the United States who paid Listing Fees to place a ''Buy It Now'' Listing on eBay’s websites during the period from July 30, 2008 to September 10, 2015, whose item was subsequently delisted when the ''Buy It Now'' button was selected by a prospective buyer prior to the end of the scheduled listing duration, who were not ultimately paid by the prospective buyer for the listed item, and whose Listing Fees were not refunded by eBay (''Class Members'').''

I did not see anything in the letter as to if (or how) one has to prove anything.  I was going to read the stuff at the link later today.

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

This user has validated their user name. by: IDKwhoIare

Mon Oct 12 09:21:15 2015

@Comet

''Option 1 – Submit a Claim Form to Be Eligible for a Cash Payment

If you want to receive a cash payment from the settlement, you must submit a Claim Form. You need to complete the Claim Form no later than December 8, 2015. Visit www.ebaybuyitnowclassaction.com/Claim Form to fill out your Claim Form or your can download a claim form and mail it to the Claims Administrator at: Rosado v. eBay Settlement, c/o Heffler Claims Group, P.O. Box 710, Philadelphia, PA 19105-0710.''

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

by: Moonwishes This user has validated their user name.
Web Site

Mon Oct 12 09:24:46 2015

I actually got something that to be the legalize about submitting a claim but I thought it was a phishing scam. Even though it might have looked legit, $5 isn't worth it to take a chance of getting an infected computer.

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

This user has validated their user name. by: IDKwhoIare

Mon Oct 12 09:35:05 2015

Question:

If this suit is only for instances of BIN where payment was not received for that period, is it worth taking $5 to $15 and not being eligible to EVER be part of another suit that actually might compensate one for other lost fees or lost revenue due to rolling blackouts, hidden listings, whatever? (because one had listed as BIN and one Opted in or did not Opt Out of THIS suit)

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

This user has validated their user name. by: IDKwhoIare

Mon Oct 12 09:43:12 2015

Another question:

Does the capitalized text in the para I quoted regarding Released Claims negate the situation described in my question above?

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

by: dr shock This user has validated their user name.

Mon Oct 12 09:49:43 2015

Why bother for $5?

eBay is so vindictive I wouldn't put it past them to find some way to punish the sellers who file a claim.

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

This user has validated their user name. by: toolguy

Mon Oct 12 10:58:38 2015

Most of the BIN listings I've had on eBay were given to us for FREE!

This class action is NOT for me.

Now if they have one for FVF fees on shipping I'll be the 1st in line. . .

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

by: a_c_green This user has validated their user name.

Mon Oct 12 11:01:27 2015

> is it worth taking $5 to $15 and not being
> eligible to EVER be part of another suit
> that actually might compensate one for other
> lost fees or lost revenue due to rolling blackouts,
> hidden listings, whatever? (because one had
> listed as BIN and one Opted in or did not Opt
> Out of THIS suit)

Participation (or non-) in this suit would have no effect on your possible participation in another on a different matter. That is, you're not allowed to collect on this complaint and then file the same complaint on your own later on. If you want to opt-out of this one and then try your luck filing your own for the same issue, go right ahead. If you want initiate suit on some other complaint, fine.

(Consult a real lawyer if you're really concerned about this, though; I am not one.)

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

by: DVDsandMore This user has validated their user name.

Mon Oct 12 11:08:02 2015

It sounds like some of you have received notices.  I'm still waiting, but I certainly qualify.  

This is a settlement, not something imposed by the courts, which is why the limits are what they are, but it's typical in a class action suit where most people did nothing to bring of further the suit.  Hopefully eBay will stop the practice of rewarding deadbeats and punishing sellers.  Sadly, it looks like they're doing it by making it harder and harder to get combined shipping, which really ticks customers off.

 

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

This user has validated their user name. by: Marie

Mon Oct 12 12:29:28 2015

@idkwhoiare

This is from Ina's article.

"Claimants who submit a claim for a non-vehicle listing will receive $5, and claimants who submit a claim for a vehicle listing will receive $10. The maximum payment to any single claimant will be $15. Rosado is expected to receive $2,500 as a class representative incentive award."

http://www.ecommercebytes.com/cab/abn/y15/m10/i12/s01R>

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

This user has validated their user name. by: The End

Mon Oct 12 14:43:58 2015

Clicking the BUY IT NOW button should NEVER end the item listing. Only clicking the SUBMIT PAYMENT button should end the listing.
Ebay needs a sweeping "Moronectomy, Idiototomy" to begin entering into FUNCTIONALITY.

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

This user has validated their user name. by: Marie

Mon Oct 12 14:56:07 2015

And you can do that if you set up your BIN listings with immediate payment required.  Of course you can't do that on Auction listings with a BIN, which is unfortunate.  Seems to me a programming tweak could fix that easy enough.  Then the sellers could control if that is what they wanted on their listings.

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

by: a_c_green This user has validated their user name.

Mon Oct 12 15:14:26 2015

> Of course you can't do that on Auction listings
> with a BIN, which is unfortunate.

Are you sure? I can specify IPR when adding a BIN to my auction, but I sell in sporting goods or collectibles; I'm not doing a vehicle auction. Are you referring to vehicle auctions specifically?

Perminate Link for Scam Attempted on Car Owner Who Sued eBay   Scam Attempted on Car Owner Who Sued eBay

This user has validated their user name. by: Marie

Mon Oct 12 15:57:48 2015

@a_c_green

I stand corrected.  I just went and tested it and you are absolutely right.  I was not aware they had changed that.  Thank you for setting this straight.

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