RK Sales and Consulting LLC

To Whom It May Concern: I have addressed this complaint with the customer and you may view the full exchange of four certified letters on the single PDF file I’ve attached which I encourage you to read in its entirety. In over four years in this business, I have never been approached in this...

manner.  The “reverse-logistics” business is known to have margins of error due to its fast pace.  Goods which are channeled into the reverse logistics and secondary markets are often “left-overs” from a larger first tier retailer or wholesale distribution operation and they are sold at pennies on the dollar to clear them out quickly.  Due to this potential margin of error, it is common practice to work with customers to resolve discrepancies which exceed a slight variance and I have done so on many occasions with satisfied customers who would attest to this.  Please let me know if you would like a list of these customers and their contact information. Due to the severity and tone of Ms. [redacted]’s first two letters, I first consulted my attorney (which I have never done before on a customer issue) who stated that she could potentially drag me into a prolonged legal battle, regardless of her false claims, and he advised that I should offer a substantial refund.  In contacting numerous fellow wholesalers with more experience for advice, none had ever experienced a buyer acting in this manner, or to this extent.  Ms. [redacted] received the goods on 9/02/16 and did not notify me of any issue whatsoever for over two weeks.  All parties with whom I consulted found this highly suspect.  This customer called daily to track shipment during transit, and is not uncommon for a new customer to be nervous as to whether or not they will receive the goods at all from a new supplier.  Ms. [redacted] is well-versed in this business and the next logical step, even for novice buyers, after demonstrating such concern, would be to perform a simple spot check of the goods upon receipt.  This would not be difficult, as it was only four pallets of mixed apparel in large gaylord boxes, and one could simply reach into boxes to randomly inspect a few pieces throughout to verify that quality, overall, is as it was represented.  Had there been as many issues as this customer purports, it would have easily and surely been discovered during the spot check. Though the standard practice in this to offer a “moving forward credit” towards a next purchase, I considered the advice of my attorney and peers, and offered a 50% refund, which is far and above industry standards.  A cash refund of this size is nearly unheard of, especially given the time lag of her notifying me of the issues.  With this reason alone raising red flags, and upon further research, I discovered a serious environmental factor of climate which has afflicted this customer’s immediate location, as post-flood East Baton Rouge Parish was one of the hardest hit by the floods just two weeks prior to receiving the goods and subject to record-breaking humidity during the time she has had the goods –which I have documented in my response letter via certified mail.  “Mold, Mildew, and Contaminated” was obviously the bulk of her complaints and this climate has been causing similar problems for many warehousing operations in areas affected by floods and hurricanes.  Ms. [redacted] offered an invitation to come to Baton Rouge and inspect the goods, however, due to her threatening and hostile tone, I declined.  Since the goods had already been in her possession for an extended time it is irrelevant since I do not know what may have happened to them while there. In the business of wholesaling to the secondary markets, one should always exercise caution with new suppliers as the industry is indeed rife with fraud and misrepresentation.  Reputation is everything.  However, this is a two-way street as there are just as many dishonest buyers.  It is my opinion, and also that of experienced wholesalers, that Ms. [redacted] is a wholesale buyer attempting to scam a vendor through an aggressive intimidation ploy.  My attorney has warned that due to the nature of the industry, it does present an opportunity for overly litigious types to exploit small discrepancies for their own benefit. In reviewing the customer’s letters, her demands are very inconsistent and seem to lend themselves to bleeding my company incrementally for as much as I will allow.  In review: 1.  Within her 9/15 and 9/17 letters, she demands nothing short of a full refund, and sending a carrier to pick up or dispose of the goods at my expense.  At one point during communications, she arbitrarily determined that her labor in sorting 4,504 pieces of apparel, or significantly less as she purports, has cost her $5,000 and she also makes threats of seeking additional “punitive damages”.  First, when purchasing apparel which is packed as “mixed”, it is assumed that the sorting is considered by the buyer in their business model.  Secondly, an experienced friend and exclusive liquidator of all TJ Maxx & Marshalls apparel nationwide for over 25 years places a cost of $.30-.35 per unit to inspect and de-label garments –which makes her assertions absurd. 2.  The final paragraph of my 9/23 response letter sent via certified mail reads “That said, and at the advice of my attorney, I am truly sorry you are not completely satisfied and I am willing to offer a substantial refund of 50% ($4,452.68) for the total sum paid to us, including shipping, and with no further obligation by either party.  Please find the enclosed check # 3107.  By cashing this check, you will have agreed that you will make no defamatory or disparaging remarks about our company whatsoever, in any trade forums or otherwise, online and otherwise, as well as with any government agencies.  I believe this offer to be both fair and reasonable and hope that you will accept this resolution.  Thank you.” At this point, according to my attorney, Ms. [redacted] had the four following options:                 a.  Accept the payment as full resolution under the terms outlined in the accompanying letter.                 b.  Reject the enclosed check and terms therein to opt instead for legal action.                 c.  Contact me to attempt to negotiate another amount.                 d.  Do nothing at all. 3. Ms. [redacted] accepted and promptly cashed the check, which cleared my account on 10/02 -thereby agreeing to the refund as resolution in full per the terms within the accompanying letter.  According to my attorney, this action on her part constitutes “Full accord and satisfaction” regarding the matter in the eyes of the court.   4.  During her response letter dated 9/29, this customer openly admits to altering my check, which could be a crime, and no longer insists on the full amount –instead opting for another arbitrary lesser amount of $2,500 to see if I will capitulate to her threats. 5.  Finally, in not receiving additional money or response from me, Ms. [redacted] has decided to violate the terms of cashing the check, which had effectually became a contract, and has sent a complaint to the Revdex.com.  In this new complaint, she has abandoned her latest demand of $2,500 and reverted to demanding the full remaining balance of the original invoice $4,452.63, AND she has chosen a new arbitrary amount of $2,100.00 for her time. In summary, I have exhausted much time and effort to give this customer a resolution which exceeds the norms of the industry as a whole .  My company considers this matter closed and will be considering legal action against Ms. [redacted] should she take further steps to defame my company.  Please feel free to contact me with further questions.  Thank you.   Sincerely,   Ryan [redacted] President & Owner Bullhorn Promotions, LLC (d.b.a. RK sales & Consulting) Minneapolis, MN