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Hi Alex,

Terrible situation.. Couple of observations, i am not sure ‘slang’ or a ‘casual approach’ is reason to eliminate a distributor (for future reference) as everyone will deal in things their own way – me, i do most of my business over a coffee and although i have come from a corporate blue chip high level management role (roles) – you would barely pick it

That being said.. and ultimately, you have honoured to replace the parts – the goods that you promised to replace have been lost by your freight provider and as a result and IMO i feel that you are obligated to replace based on your verbal acceptance of the distributors demands from the outset..

Now, the verbal demands comment – well, that is an entirely different conversation and IMO i would never have let it go that far – it only encourages people to take advantage of you.. In retrospect, damaged goods should be either a) returned at your cost as they were your fault being shipped this way (fault is harsh word, not meant to be negative though just best word atm) or b) items are all destroyed on distributors premise and evidence of photographed shown…

As for showing how to repair the first lot, i think you offering this is merely digging your hole bigger – i would never have done this with a new distributor, maybe a long term client that has a rapport with us, but not a new that is trying to maximise his/her profit at your expense..

Not sure of your history or product, although reading the OP, it sounds like you merely offered in good will and with good intent to do the right thing – although maybe it was just the quickest with least confrontation? Although it has gone sour and the client still has the $2k to resell, regardless of the lost package.. However, if i read it correct, you have not only refunded the full original order (cancelling your obligations in my eyes) you have also shipped out new stock AND and advised how to repair old stock – in effect giving them $4k in free goods? Now, that the replacement is lost, i feel you are partially obligated (especially if you actually want to keep the relationship or uphold your agreement) to replace the replacement parts and to be honest they may still get the first replacement as well.. Messy..

Its times like this that you are hoping the room you are sitting in has a brick wall… But honestly, do you have a process established for this type of scenario? it may pay to implement and worth through all issues you may face with distributors and create a handbook that becomes your go to and how to reply to issues – this will remove demands by distributors influencing your replies or fixes and keep everything uniform – you can also then say ‘sorry, our policy is X or Y and not your proposed Z’

Jason Ramage | Lucas Arthur Pty Ltd | E: [email protected]   P: 61 3 8324 0344    M: 61 412 244 888