Zadehkicks pre orders

Did he ever send orders before the 180 days expired?

Because at some point that would have made me start to think he was doing it intentionally to avoid having to pay back money and I would have stopped ordering from him
 
Got a response on my first PayPal claim.
Case closed in your favor​
[TD]We reviewed the case you filed on May 24, 2022 and have decided in your favor.[/TD]
[TD]We've issued a refund of $3,636.00 USD to you on . It may take up to 5 days for this refund to be reflected on your PayPal account or bank. If you paid using a credit or debit card, the money will be refunded to your card. Depending on your card issuer, it can take up to 30 days for the refund to appear on your card statement.[/TD]

Did you escalate your case or did you just start it and wait for him not to respond?
 
Did he ever send orders before the 180 days expired?

Because at some point that would have made me start to think he was doing it intentionally to avoid having to pay back money and I would have stopped ordering from him
Before the pandemic, I’d get orders roughly a month after release. I’d only order one pair at a time, so I can’t speak on bulk orders.
 
The internet can solve a murder in 72hrs, but in 10yrs nobody has been able to identify who was ZK source for 10s of thousands of pairs of tier 1 and tier 2 shoes?
That was my #1 question for a long time. It’s amazing to me that no one that worked for him has come forward anonymously to shed any light on the inner workings, daily routines in the warehouse and where his shoes were coming from. I know he said at one time that he didn’t hire sneakerheads to work for him. While some reasons may be obvious I am now thinking that an employee who loves shoes would most likely wonder where these pairs were coming from. I can’t believe for all these years his source was never exposed or leaked considering nothing in this day and age stays a secret for very long let alone 8-10 years.
 
If he knowingly sold fake kicks you would've heard about it by now. Check YT, Twitter, Reddit, NT etc. I never heard anyone report about fakes until this week on NT and both instances were through hearsay only, not actual buyers.
That’s exactly what I had replied to someone on Twitter that flat out claimed he was selling reps. With the amount of time he was in business and the sheer number of orders he had shipped over years and years, that would mean that bulk buyers, those who bought personal pairs and resellers alike didn’t know the difference. I just don’t see that as a possibility.
 
I wonder how much money PayPal is going to lose because of Zadeh once all the claims are paid out. :nerd:

And then what?...Does PayPal go after Zadeh for the large chunk they ended up paying out? How's that all work out down the line? PayPal has to eat it probably?
That’s what I was wondering. I’m sure that whatever they have to pay out is nothing to a company like PayPal but I wouldn’t be surprised if they revised their terms on refunds or lessen that 180 window after all this.
 
They will probably go after him personally...but that's why they got insurance too. On them as a merchant processor that they allowed this business model to operate the way it did without proper checks/balances and in-depth audits.
 
Is there a pic of this guy?

We both live in Eugene, Oregon.

If I see him at Whole Foods, I’s be happy to deliver any message you may have.

0AFC1C62-C285-4640-AA3F-3AA3E7297A83.gif
 
I wonder how much money PayPal is going to lose because of Zadeh once all the claims are paid out. :nerd:

And then what?...Does PayPal go after Zadeh for the large chunk they ended up paying out? How's that all work out down the line? PayPal has to eat it probably?
PayPal is a company that has a net revenue in neighborhood of single digit billions. PayPal likely has some sort of insurance that covers these transactions.

Similar to other vendors, guessing PayPal first tries settle transaction between seller and buyer within the timeframe set in PayPal policy (180 days?).

If that fails, PayPal pays out buyer, escalate to insurance to resolve funds to owed to PayPal. Insurance claims adjustor recovers funds from Zadeh and gives it to PayPal.

And if that fails, insurance pays PayPal or PayPal writes off a portion. Since insurance paid out PayPal, Insurance claim adjustor works with authorities to get back as much as they can, or end up writing it off as a lost too.

Something along these lines I'd imagine.
 
That’s what I was wondering. I’m sure that whatever they have to pay out is nothing to a company like PayPal but I wouldn’t be surprised if they revised their terms on refunds or lessen that 180 window after all this.

I'd be surprised if PayPal changed their policy. This type of customer service (covering claims) is exactly why people use them. If they decrease their coverage too much they'll lose revenue from people shifting to other payment sources. Also, I'd be shocked if this hasn't happened MANY times before over the years, and surely for even more. At most one would think they would revise their processes to investigate these large volume movers more closely. Or maybe they just can't and did their due diligence over the years b/c he clearly survived for a decade or so. Perhaps just a black swan event no one could have predicted, and the conclusion is that it's just part of doing business.
 
PayPal is a company that has a net revenue in neighborhood of single digit billions. PayPal likely has some sort of insurance that covers these transactions.

Similar to other vendors, guessing PayPal first tries settle transaction between seller and buyer within the timeframe set in PayPal policy (180 days?).

If that fails, PayPal pays out buyer, escalate to insurance to resolve funds to owed to PayPal. Insurance claims adjustor recovers funds from Zadeh and gives it to PayPal.

And if that fails, insurance pays PayPal or PayPal writes off a portion. Since insurance paid out PayPal, Insurance claim adjustor works with authorities to get back as much as they can, or end up writing it off as a lost too.

Something along these lines I'd imagine.


Yup, makes sense. Insurance definitely the major key here.

And what happens when the insurance claims adjustor doesn't recover funds from Zadeh to give to PayPal?
 
Yup, makes sense. Insurance definitely the major key here.

And what happens when the insurance claims adjustor doesn't recover funds from Zadeh to give to PayPal?
Insurance is left holding the bag and may seek legal action too. Generally, that's just how the insurance industry works; collects premium in hopes that the clients don't file any claims.

This is what my friend, who is a claims adjustor, explained to me a few years back. FWIW, his background is in risk management/finance.
 
Someone is gonna be left holding the bag and suing the man at the end of it. Remains to be seen if it’ll be the CC companies or the people. I just can’t see how PayPal or any CC covers anyone beyond their coverage days.
 
I'm sure it follows the bad debt/collector route just like non-payment on credit cards. This type of "loss" is nothing new. FWIW, I've worked in the payment processing industry, including direct with merchant processors, banks, etc.
 
I still don’t quite understand what lead to his downfall.

He was taking too many bulk orders and overextended himself?

Infrastructure couldn’t keep up with demand?

…why didn’t he just scale back?
 
I still don’t quite understand what lead to his downfall.

He was taking too many bulk orders and overextended himself?

Infrastructure couldn’t keep up with demand?

…why didn’t he just scale back?
Pretty sure it was a scheme all along and his spending on luxury cars and $800 hoodies combined with the insane resale mark up on several shoes that came out this year (Travs, hyper Royal 1, Oreo, cg11) led him to not be able to cover the cost of sending out enough stock to not raise red flags. Scale back wasn’t an option, for the scheme to work more people have to continually join and the members have to continually dump money invested and “profits” back into it.
 
I work in accounting and to kinda answer the question, companies calculate different types of losses or write offs depending on the industry. I know that merchandise companies such as Walmart have allotted liability accounts for if a customer will return a product (est returns) or if they’re selling on account (credit) they’ll estimate how many “bad actors” will not pay them (allowance for uncollectible accounts). Companies can always adjust these liability accounts whenever as well, like when the pandemic first happened all these financial banks increased their allowance accounts since they were expecting a lot of people to default on their loans or have deferred payments. I’m guessing PayPal will go after Zadeh Kicks and if they aren’t successful they’ll file with their insurance and write off the difference of what they can’t collect off the at the end of the year.

With normal customers they usually just sell the debt to debt collectors and its off their hands. But if the debt collectors can actually get the money from a customer they’ll be the ones whose getting paid. But at a scale like this it’s to be assumed they’ll actually press him in court for that money.
 
Back
Top Bottom