When you shop from reputable resale companies, you anticipate a simple and easy shipping experience. Unfortunately, it appears that this may not always be the case for sneakerheads attempting to purchase from GOAT. The online business has been ordered by the Federal Trade Commission (FTC) to pay back consumers over $2 million for an alleged violation of the agency’s shipping regulations, a situation that has undoubtedly caused frustration and disappointment among the sneaker community.
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The Allegations Against GOAT
On Monday, the FTC filed a lawsuit against GOAT for allegedly engaging in unfair and deceptive shipping practices. The agency claims that GOAT violated their “Buyer Protection” policy for customers who received defective products, refused return requests for goods that were not as described, failed to ship the merchandise within the timeframe required and failed to give customers the option to cancel an order in cases where the goods were shipped later than promised.
The FTC found that 16 percent of all “Next Day” orders were dispatched later than expected without giving the client the option to accept the delay or cancel the order and get a refund. Furthermore, 37% of purchases that paid more for the “Instant” shipping option were dispatched later than expected and did not receive the appropriate compensation.
In response to these allegations, a GOAT spokesman said that 99.84 percent of the sample data analysed for its sold products were in fact dispatched or received on time. The FTC’s 37 percent estimate was thus attributed to a misreading of the data. The representative also noted that the company settled its dispute with the FTC in order to save time and money on legal proceedings.
Settlement Agreement
According to the FTC press release, GOAT will have to pay more than $2 million to reimburse consumers. They are also advised to follow specific customer care guidelines in order to uphold their “Buyer Protection” policy, while abstaining from the activities they were accused of by the FTC. Hopefully this means smooth sailing for GOAT operations moving forward and a better experience for its customers.
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