It isn't really fair either way - assuming both buyer and seller are doing their part, one or the other is getting the short end of stick, despite not having done anything wrong. I just suggested that, in my mind (without knowledge of any kind of established code of ethics in these matters), the fairest way to resolve the issue would be for both to take a hit. If this is what the seller wanted, I could see it as a fair resolution (though the seller would be doing it with full knowledge that it would likely impact the likelihood someone else may buy from him in the future). I don't see it as an ethical thing for the seller to take full responsibility - merely a wise decision if one hopes to sell routinely and maintain a pristine reputation
The buyer also had the option to insure the package but for whatever reason he chose not to. Therefore he should be responsible for replacing the item.
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