We hear many stories of people backing out and not paying on Sedo. Sedo will give the seller the information of the buyer and leave it up to them to go after payment.
There is a very interesting thread on Namepros about one such sale. Not only is the sellers post interesting with the back and forth between him and the buyer, but the wide range of comments after.
Some who believe go after him at all cost, to others that accept the non paying bidders as part of the game.
The intitial post is below:
I am SICK and TIRED of these Sedo deadbeat buyers thinking they can
get away with their foolishness with impunity. Here is my latest Sedo
deadbeat buyer story:
Carolina Discount Furniture
Read the series of communication between this deadbeat and I and let me
know what you think. Feel free to add this "buyer's" information to
Here is the first email I sent after getting the buyer's contact
information from Sedo aver waiting several weeks for payment that was
Dear Mr. Keck:
My name is xxxx, and I am the owner of xxxx. Sedo forwarded your
contact information to me because you agreed in a legally binding
contract to buy xxxx.com through Sedo, and you failed to pay for the
domain name. While Sedo referred you to me for potential legal action
for breach of contract, it is my hope that we can come to a resolution
where both parties can be happy–you get the domain name, and I will
receive payment as promised.
While looking at your website, it is evident that you could benefit from
my domain name. The hyphen in your current domain is really dragging
down your site's value, not to mention the lost traffic from people who
forget to type that hyphen into their browsers. I am confident that you
will recoup the cost of my domain name easily just from the new traffic
you will receive. And you don't have to build another site. Just
forward this domain to your existing site to capture that traffic.
So I am convinced that you NEED this domain, and not purchasing it would
be a mistake. I will work with you, as long as you pay as agreed. I
can also lease the domain to you (you make monthly installment payments)
if price is an issue.
I need to hear from you ASAP so we can settle this matter. Thank you for your time and attention.
Danny Keck's response:
think money must be the issue on your end. I have never had anyone
pursue $497.00 like it was the lotto prize before. I have many
customers who are used to finding me with the hyphen. I simply changed
my mind on this matter. There is nothing legally binding here so I would
appreciate it if you and Sedo would quit harassing me.
My response to this, with comments:
Dear Mr. Keck:
My position on this matter is clear. The amount of money involved is
not the issue. There is a principle here, and it is unfortunate that
you as a business owner do not understand this. You made a commitment
to buy the domain through the Sedo marketplace. Sedo lets buyers know
that any offer made on their platform is legally binding, and you should
not click "buy it now" if you are not in agreement with that. There is
no "I changed my mind." That is not acceptable.
You can either pay what is owed willingly, or you will be forced to pay
legally. That is up to you. I will give you 24 hours from the
timestamp on this email to contact me to make payment arrangements and
to submit payment to me. If payment is not made within the time period
specified, the next communication you will receive will be a Summons for
you to appear in small claims court concerning this matter.
Please keep in mind that amount I will be seeking from the Court will be
far more than $497, and will include court costs, my travel expenses to
your county in NC, and other remedies allowed by law. I also reserve
the right to post your name, website, and contact information
identifying you/Carolina Discount Furniture as a deadbeat Sedo buyer
online until payment is made. My comments regarding the email you sent
me are in bold, below.
I think money must be the
issue on your end. (Why wouldn't money be an issue on my end? I am in
business to make money, just as you are). I have never had anyone pursue
$497.00 like it was the lotto prize before. (The amount really doesn't
matter. The issue is that you made a commitment to buy through Sedo and
reneged on that commitment. The same thing would happen if the
purchase price was $60. I have had collection agencies come after me
for $25 medical bills!) I have many customers who are used to finding
me with the hyphen. (This may be true, but you, not I, went on Sedo to
buy xxxx.com.) I simply changed my mind on this matter. (So commitment
means nothing to you? I wonder if you are so generous as you expect me
to be if a buyer makes a commitment via contract to pay for furniture
and then decides to change his or her mind and not pay what is owed).
There is nothing legally binding here (I would suggest reading your
contract again) so I would appreciate it if you and Sedo would quit
harassing me.(You are responsible for paying Sedo's commission, so they
may continue to contact you or take whatever action they deem necessary
to collect…I have no control over this.)
Final response from Mr. Keck:
Do what you gotta do.
The Seller: These deadbeats think they can get away with this because of the cost
and inconvenience involved with pursuing them through the legal system.
Now one commenter left a message that a Google search for Carolina-DiscountFurniture.com has this Namepros post on the first page.
Feel free to leave a comment here on your thoughts about non paying bidders.