Public Mediation

L.B. vs. Mecum Auction Inc

L. B. vs. Mecum Auction, Inc
445 South Main Street, Walworth, Wisconsin, 53184-9536, United States
Amount Involved: $12,000.00
Complaint(s): Bad business practices
    • Status: In Negotiation
      This claim has posted for public comment and negotiation. It will remain posted until resolved to the claimant's satisfaction. Suggest a resolution to help these parties reach a settlement.
       (seeking public comment)
    • Claimant Seeks: View.
    • Claim #: 7985516
    • Amount Involved: 12,000.00
    • Filed On: Feb 03, 2017
    • Posted On: Feb 14, 2017
    • Complaint(s):
      • Bad business practices
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Statement of Claim
Complaint Involved (1) - View
Claimant says:
"Purchased a 1987 Ferrari Testarossa at the 2016 Mecum Monterey Auction and did not receive items listed in Mecum Catalog Offering. Was promised at time of settlement that I would receive tools and service records verifying "recent major service performed." After 4 months I have not received items as promised. I have since confirmed that the "major service" was not performed and the car was misrepresented in the Mecum Catalog. I paid the buyer's premium of $12,000 at the time of settlement and Mecum has not delivered on their commitment. I have incurred significant costs as a result and would expect my buyers fee to be returned, at the very least."
...
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Additional Communication Between Claimant and Mecum Auction, Inc Hide
  • Feb 13, 2017, Claiming party added:

  • Dear Mr. Palandech,

    With all due respect, it appears that you do not have all of the facts. I understand what the bidders registration packet states, however you may not be aware of what Mecum's resolution person, Steve Haines, stated to me at the time of settlement. Mr. Haines made it clear that the information stated in the auction catalog offering was clear and and taken serious by Mecum, thus he would make certain that I would receive all the tools and service records referenced in the offering. In fact, he and other staff appeared very concerned that these items were not available to me at the time of settlement. They looked around the premises for the missing items and were unable to locate them, but were adamant that I would receive everything after settlement. Mr. Haines expressed his concern and frustration and would contact the seller to retrieve the items committed to me. I took him for his word and paid for the vehicle.

    You may not have all of the email communications and phone notes that I have in my file which confirm Mr. Haines recognition of my claim. And as far as the RO that you referenced, I did receive that information at settlement, however it was mutually agreed that that was not considered a "recent major service" for a Testarossa and that there would be more information to follow. And in fact, Mr Haines did later send me a CarFax stating "Vehicle Serviced" on 12/01/15, at 22,769 miles, however he did not have the actual RO for that service and as you will note that is more recent than the RO you referenced. Steve continued to commit that he would get the record of the RO and get it to me asap, but that never happened. I have one of Steve Haines emails dated 10/25/16, stating that he was still working on it, but the "seller was in the hospital" and that he would continue to work to "get the rest of the records" and would "hopefully have them soon." This is not hearsay, but statements from Mecum's resolution person in an email.

    At one point during the process, Steve Haines was quite aware that i did not receive what was promised by the seller and Mecum, and he went so far to see if there were any resolutions that I would consider in the event that he could not provide that information promised. I told Steve that there were basically, 3 options;
    1- Provide the items represented in the catalog and promised, or 2- Compensate me for the tools and cost of "major service," or 3- return the car and refund my money. These options did not appear to be unreasonable to Steve or myself at that time.

    This dispute should not be a conflict with the buyer and Mecum, rather it is between Mecum and the seller. Mecum and the seller got their money. I fulfilled my obligation after being provided with Mecum's commitment to deliver on what was represented in their offering and committed to me at settlement, and that if I paid for the vehicle I would not need to worry for they assured me that I would receive the service records and tools. I took Mecum on their word.

    If Mecum can't provide what they promised and are acting as the agent between buyer and seller, then I think that it is only reasonable to return the premium paid to Mecum by me. I paid Mecum a fee for a service that they are supposed to provide, and they did not do so. The seller obviously did not perform their obligation and evidently Mecum is unable to do what they said they would do to resolve this matter. Mecum and Seller need to step up and make this right. This whole matter has not been handled in satisfactory manner and refund of the buyer fee is certainly reasonable.

    What is even more disturbing, it is now obvious that the "major service" was never performed as represented by the Seller and stated in Mecum's Catalog. And, this has been confirmed by the local Ferrari dealer. Thus, I have waited and been promised for over the past 4+ months for an RO verifying a performed "major service" which really cannot be produced.

    I would be happy to provide you with my email correspondence, phone notes, and copy of the vehicle catalog offering and description published by Mecum.

    Respectfully.

    L. Phillip Busick

  • Feb 23, 2017, Claiming party added:

  • With all due respect, you do not seem to recognize the fact that Mecum Auctions Resolutions Representative, Steve Haines, made it clear to me at the time of settlement that Mecum took this matter very serious and "committed and guaranteed" that I would receive the lot as described in the Mecum Auction catalog.

    I understand what the Bidder Registration Agreement states, however at the time of settlement there were items missing and Steve recognized that fact and stated that I would receive what was listed in the Mecum catalog as part of that lot.

    For example, the lot included tools and after it was determined that all of the tools were not provided, Mecum did issue a check in the amount of $1,000 as compensation for the missing tools. That was compensation as resolution for the missing tools only, and the missing records remained an outstanding item to be resolved and actually are more significant in nature than the tools.

    Given the consideration for the missing tools, that would confirm Mecum's recognition of a deficient lot.

    At that time, Mecum did not take the position that they had fulfilled their obligation but rather agreed that it was a significant matter and needed to be resolved asap.

    If as you stated, "Mecum considers its contractual obligation fulfilled" then why didn't they take that position at the time of settlement? Why is consideration and or compensation for the missing tools any different than the missing records? Further, why did their resolutions rep continue to recognize this matter as unresolved and went so far as to ask me what I felt needed to be done to resolve this matter. I gave him 3 reasonable options, none of which he disputed or claimed as unreasonable.

    Mecum's new position on the matter is totally contrary to what I was told by Mecum at the time they took my money. You may continue to cite the BR Agreement, but you do not know all of the facts nor what was stated and promised to me by the Mecum's Resolution representatives. You may consider this matter closed, but I do not.

What Claimant Wants Hide
1. Compensation: Refund of buyer fee Feb 28, 2017 $12,000.00
2. Other – Copy claim to regulators Feb 28, 2017 $14.99
3. Other – Pay for claim posting cost Feb 28, 2017 $7.99
4. Other – Physical delivery charges Feb 28, 2017 $4.99
Cash total : $12,027.97
  • 0
Do you agree with the claimant’s demands?  (If you are a party to this claim, click here.)
Awaiting response from Party
terry hankins commented
terry hankins (Comment):
"Mecum advertised the car with certain claims therefor the buyer should get what was claimed regardless. If you make a claim then deliver what you said. If Mecum wants to keep customers for more than one sale it is simple, Say What You Mean,and Do What You Say. Mecum should ask for prof of documentation, if not don't promise it. Tools,books,copy of buyers orders, car fax, extra keys etc. should be collected and securely stored by the auction, like most auctions do. Either way with or with out the extras announce it and put it in writing on the auction list. Mecum was at fault and failed in the prompt follow up catagory. Perhaps to big now to get it right and care. Terry H. Ohio"
 (8 years ago)
Reply
terry hankins commented
terry hankins (Comment):
"Mecum advertised the car with certain claims therefor the buyer should get what was claimed regardless. If you make a claim then deliver what you said. If Mecum wants to keep customers for more than one sale it is simple, Say What You Mean,and Do What You Say. Mecum should ask for prof of documentation, if not don't promise it. Tools,books,copy of buyers orders, car fax, extra keys etc. should be collected and securely stored by the auction, like most auctions do. Either way with or with out the extras announce it and put it in writing on the auction list. Mecum was at fault and failed in the prompt follow up catagory. Perhaps to big now to get it right and care. Terry H. Ohio"
 (8 years ago)
Reply

Respondent's Counteroffer

There has been no response to this claim from Mecum Auction, Inc. This claim will remain posted until resolved
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  • Comment: by J Petaluma (5016 points) — 40 Years In Business. Curious About Everything, Love Helping People Figure Things Out.
    • On: 02-15-2017
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  • Can you attach a scan of the relevant catalog offering page?

    I don't see the response from Mecum, but this doesn't look like a terribly complicated matter. If the offering included documentation that wasn't actually provided, and the claimant has emails etc to prove that, then I'd have to agree that Mecum didn't do its job. Mecum should have ensured that all the documentation was in place prior to the sale.

    I don't know a thing about Ferrari Testarrosas so I can't evaluate how much the lack of documentation (and possibly a doubtless very expensive service) would detract from the value of the car but I would imagine that it's a good bit.

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