Print Page - Butterfly Labs BFL conducts illegal business practices that should be addressed

Butterfly Labs, why do violate FTC regulations with your no refund policy? Why do you believe that what you say through your representatives and on your forum supersedes the law? The reality you live in has a population of one, that is you if you couldn't figure it out.

You made a promise to your customers to ship in order of paid orders received, not by product line, yet people who ordered in January of 2013 are getting their products before people that ordered in July of 2012. How is that fair? You are also breaking up Mini Rig orders into three parts and shipping 1/3 at a time when there were a lot of preferred customers that received their entire allotment of Rigs in one shot ie the guy on your Monarch order page. That is very unethical.

Is it worth suing Butterfly Labs? There is plenty of evidence to support that they are fraudulent with their activities. They are still taking preorders for their SC line of products with a two month delivery time, which is not possible and misleading per the shipping Blogs rate of production or lack thereof, or more is non specific. The Monarch is being offered currently for a December delivery and Joshua has said on his little forum that you will not get it till February if ordered now, purposefully misleading unsuspecting customers into the bait and switch. They did finally update the page to reflect that but it took almost a week. Surely, if you order now you will not receive it in Febuary, more like April due to volume. Plus countless other lies that BFL, through representatives have told its customers.

This is a plea to the representatives of BFL ie Inaba/BFL_Josh to comment on these practices to provide some transparency as you demanded of MTgox when you were wronged in the example below:

Quote

Inaba

Well shit, so now I have to post this in two places because I don't know which thread is being monitored:

Thanks for the post MTGox_Dylan. I think most everyone was already aware of these FAQ points, though. That has never really been the issue, so I'm not sure what is hoped to have been accomplished by making this post, other than as a distracting measure (This would have been perhaps more effective: http://chanarchive.org/content/1_b/378881354/1328366326840.jpg).

The real problem here is, as has already been at least partially mentioned:

1. The lack of transparency in the process.
2. The lack of communication.
3. The lies and false promises made by MTGox Support Staff with regards to AML/KYC.
4. Delay after delay, ostensibly under the guise of AML.
5. The just plain ludicrous decisions (Goat as an example). Perhaps transparency would clear these up.
6. The fact that most decisions made by MTGox seem completely arbitrary, and nothing... NOTHING pisses off customers more than arbitrary decision making. When your actions are not predictable in a given situation, you are wrong. Period.

So while this post is nice and all, I'm not sure what you're hoping to accomplish other than to distract from the real issues surrounding MTGox. My situation, that has been on going since April, is still unresolved. I am not the only one in this situation and there are plenty of others in similar situations.

Again, this does not seem to be an AML issue, it seems to be an insolvency issue. MTGox is unable to fund even moderate sized fiat conversions, which leads many of us to believe you guys are basically bankrupt and a disaster waiting to happen. The fact that no one has publicly denied this (not that we'd believe you at this point anyway, given MTGox track record of lies and falsehoods) certainly does not bolster confidence in MTGox at all.

Maybe this is the wrong thread to bring any of this up, but I don't want people to be distracted by this kind of thread from the real issue of MTGox being unable to meet their obligations to even moderate sized customers, especially when you are trying to gain new customers who will end up completely screwed when the Gox house of cards comes crashing down.

Public Service Announcement!
If you have ordered from BFL and have not yet received your product, you are entitled to a refund whenever you request one (per FTC rules).
First ask Butterfly Labs for one, they will probably say no but you might get lucky.
If you ordered via PayPal you can file a complaint with them even if you are outside the 45 day window. One customer has already gotten a refund from PayPal that was outside the 45 days.
If you ordered via BTC or Bank wire, you can fill out a complaint with the FTC and they will advocate for you with BFL to get your refund. You can also contact the office of the Kansas Attorney General and inform them that you have had your money taken with no product delivered for months, just more promises.

There are also several threads on how to get a refund from BFL, here are two:
https://bitcointalk.org/index.php?topic=266945.0
https://bitcointalk.org/index.php?topic=272585.0

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Economy => Scam Accusations => Topic started by: DrJoeGrine on August 25, 2013, 03:44:00 PM