Music.mobi “Winner” Vows Lawsuit Against Sedo

[sexesc]

After auction extended, former “winner” feels cheated.

Constantine Giorgio Roussos thought he was the winner of Music.mobi in yesterday’s .mobi auction at Sedo. He bid $66,000. The auction ended and he received an automated invoice from Sedo. He then received a “personal” e-mail from a Sedo employee (which also may have been automated).

But then something happened. Sedo extended the auction due to a server slowdown in the final minutes of the auction.

Instead of extending the auction for five minutes, Sedo extended it for 2 1/2 hours. A notice on the company’s site reads:

We are aware the there are some problems with the .MOBI Auction at this time. Due the down time we were not able to extend the auction before the set closing time. Some bidders may have received emails saying that they have won the auction, however because the system was down the highest bid at the time the system failed are not binding according to our terms and conditions. The auction will be up and running very shortly and will be extended by until 3:30pm EST to ensure all interested parties can place their bids. While this is unfortunate, the good news is that the problems are due to the large number of last minute bidders! This is the first time an auction has brought down our servers due to such a large amount of activity.

Roussos claims that the company’s terms of service aren’t legal. On his mobi.music.us site, he says:

Hello everyone. As you may well have heard I was one of the original winners of the .mobi domains held at SEDO. I won Music.mobi and was confirmed the winner via 2 emails and invoiced, later to find out that SEDO and the MTLD orchestrated an illegal move to maximize their revenues and advertise a second auction. They claimed this was because their servers were slow in the last few minutes of the 7-day auction claiming that they could do this according to their Terms of Service / Conditions. They can claim anything but it does not mean the TOS is legal. (emphasis added)

In an email to Domain Name Wire, Roussos wrote “I am suing personally for music.mobi and doing a class lawsuit too.”

According to a post at NamePros, Roussos is upset that he was outbid by “new” bidders who were not involved in the original auction. However, we all know that most bidders wait until the last minutes of an auction to place their bids.

I certainly understand Roussos’ frustrations. But his challenge that Sedo’s Terms of Service are not legal may be difficult to prove.

On perhaps a more controversial note, the winning bidder for over $1M of the domains in the Sedo auction claims he bought them for resale. The original .mobi auction at Sedo required buyers to create a web site at the domains within 6 months. I’m not sure if later auctions required this. Regardless, this is unwelcome news for .mobi fans — they would have preferred to hear that end users snapped up these domains at astronomical prices.


http://domainnamewire.com/2007/12/07/musicmobi-winner-vows-lawsuit-against-sedo/

 

[fatter]

I think music.mobi is the best of all mobis while I am a grandpa and dont even own a mobile phone If music.mobi isnt good then all the mobi owners better sell there mobi names while i dont think its worth that much its still a pretty good name

 

[briman1970]

I sincerely hope he spanks the pants off Sedo and MTLD.

 

[dalem]

If he doesnt I will!! I won two names at that auction only to find that the auction restarted again after I went to bed. I woke up to find the names I thought I had had been re-auctioned!!!

 

[leede]

wow

sedo in some trouble

 

[Carlton]

If you receive an invoice because you are identified as the successful bidder, then you have a right to purchase that domain imo. I like Sedo and have nothing at all against them.They have done a lot to advance the domain industry and they have been a top marketplace. Have bought and sold domains through them with no problem. That said, Constantine is getting a raw deal if he participated, was high bidder, and and was invoiced on his purchase. Not sure how this gets worked out.

 

[TT]

IMHO sedo is nothing more than a mafia run outfit..... They purposesly screw the guy that was the true high bidder only too inflate prices where a phantom buyer exists.

I have run into this scam on numerous occassions and therefore refuse to even entertain purchasing thru SEDO.

TT

The above are my opinons only and do not reflect anyone else's, take my opinon for what its worth and if you do not agree then thats fine by me.

 

[namewaiter]

IMHO sedo is nothing more than a mafia run outfit..... They purposesly screw the guy that was the true high bidder only too inflate prices where a phantom buyer exists.

I have run into this scam on numerous occassions and therefore refuse to even entertain purchasing thru SEDO.

TT

The above are my opinons only and do not reflect anyone else's, take my opinon for what its worth and if you do not agree then thats fine by me.

but he stated he bid it up to 611K before backing down and we all know who the winner is now, so where does this phanton bidder you speak of fit in?

 

[Jeff]

I sincerely hope he spanks the pants off Sedo and MTLD.

I agree ... best to Mr. Roussos in this endeavor, IMHO. :gl:

The Sedo history of not properly addressing "non-paying buyers" / "fake bids" / "shill bidding" is well documented throughout the forums ... hopefully this will clean house. Of course, and not to sound repetitive, mTLD should not have abandoned the RFP process (which then got them into this greedy mess in the first place), as well. Both were standing on the cupboard with hands in the cookie jar ... boom ... when the lights went on! :o :imho:

PS. mobi.music.us :music: :tu:

-Jeff

 

[Jasdon]

Being able to see this from a non-emotional point, this is how I see things.

The auction was scheduled to closed at some point after an alloted time.

The fact that some bidders chose to hold out until nearer the close of auction is totally, 100% irrelevant. Everyone knows the vast majority of auction action is in the final moments.

Whoever was leading the auction at any time during the auction, is again, absolutely irrelevant.

The fact that some people were unable to place their bids, is highly relevant.

The fact that someone had a large proxy bid beaten is totally irrelevant. Who's to say that the actual winning bid wasn't a proxy bid of $1m, $2m?

TOS can say pretty much what they like, if you agree to them, you agree - if you don't agree, you don't check the box.

If anyone wants to try arguing that they are the 'winner' because they got notification and an invoice from Sedo, well, so have the actual winners; think they're just going to roll over....?

 

[kanoodledood]

I like drama )

 

[Mike]

The fact that some bidders chose to hold out until nearer the close of auction is totally, 100% irrelevant. Everyone knows the vast majority of auction action is in the final moments.
Correct. However, the usual time of auction extension upon a new bid coming in is NOT 2 1/2hrs. Which was the extension according to Mr. Roussos. I assume he wouldn't make such a claim if he can't convincingly prove it.


The fact that some people were unable to place their bids, is highly relevant.
So is the fact that Sedo states that "our servers had an unusual slow response time..." If you're not equipped to hold domain auctions on a large scale, which this statement clearly demonstrates, then maybe you don't have any business in...this business.

The fact that someone had a large proxy bid beaten is totally irrelevant. Who's to say that the actual winning bid wasn't a proxy bid of $1m, $2m?
...and who says that these bids were actual bids from true buyers? Shill bidding, slow server response times, unusual long auction extension, it's all carrying the Sedo mark. As Jeff already stated

The Sedo history of not properly addressing "non-paying buyers" / "fake bids" / "shill bidding" is well documented throughout the forums

TOS can say pretty much what they like, if you agree to them, you agree - if you don't agree, you don't check the box.
Absolutely wrong! Anyone can have a TOS, this does not mean that the TOS has legal validity. A TOS is not the passport to circumvent applicable laws, no matter if someone checked "Agreed".


If anyone wants to try arguing that they are the 'winner' because they got notification and an invoice from Sedo, well, so have the actual winners; think they're just going to roll over....?[/QUOTE]
Ok, where are the so called actual winners then? Shouldn't they have long stood up, claiming their rightfully won auction, defusing the entire situation by proofing once and for all that there was nothing "fishy" going on? Also, Sedo is erroneously sending out multiple invoices to winners AND other bidders? Hypothetically spoken, given the time that it takes Sedo to disburse funds and domains to buyers and sellers, how long would it take them to refund erroneously made payments?! Especially given the fact that the error started in THEIR offices?

Frankly, i absolutely agree with Briman1970

I sincerely hope he spanks the pants off Sedo and MTLD.

It's painfully evident that Sedo needs lessons in business ethics, execution, delivery, customer service and client relations.

IB

 

[Jasdon]

The fact that some bidders chose to hold out until nearer the close of auction is totally, 100% irrelevant. Everyone knows the vast majority of auction action is in the final moments.
Correct. However, the usual time of auction extension upon a new bid coming in is NOT 2 1/2hrs. Which was the extension according to Mr. Roussos. I assume he wouldn't make such a claim if he can't convincingly prove it.


So what IS the usual extension time? Is there a USUAL time? Who decides that time; bidders or the auction house? Why mention new bidders - the extension wasn't due to new bidders coming in?

The fact that some people were unable to place their bids, is highly relevant.
So is the fact that Sedo states that "our servers had an unusual slow response time..." If you're not equipped to hold domain auctions on a large scale, which this statement clearly demonstrates, then maybe you don't have any business in...this business.

Yes, the first part of your response is the cause of my point. The rest is your opinion.

The fact that someone had a large proxy bid beaten is totally irrelevant. Who's to say that the actual winning bid wasn't a proxy bid of $1m, $2m?
...and who says that these bids were actual bids from true buyers? Shill bidding, slow server response times, unusual long auction extension, it's all carrying the Sedo mark. As Jeff already stated

Probably Sedo and the winning buyers.

TOS can say pretty much what they like, if you agree to them, you agree - if you don't agree, you don't check the box.
Absolutely wrong! Anyone can have a TOS, this does not mean that the TOS has legal validity. A TOS is not the passport to circumvent applicable laws, no matter if someone checked "Agreed".


It also doesn't mean that they don't have legal validity. What country's law is in effect here, laws vary from country to country?

If anyone wants to try arguing that they are the 'winner' because they got notification and an invoice from Sedo, well, so have the actual winners; think they're just going to roll over....?

Ok, where are the so called actual winners then? Shouldn't they have long stood up, claiming their rightfully won auction, defusing the entire situation by proofing once and for all that there was nothing "fishy" going on? Also, Sedo is erroneously sending out multiple invoices to winners AND other bidders? Hypothetically spoken, given the time that it takes Sedo to disburse funds and domains to buyers and sellers, how long would it take them to refund erroneously made payments?! Especially given the fact that the error started in THEIR offices?

Well the winning bidder for the main names has been active on other forums since the auction. It is not for him / them to difuse anything.

Frankly, i absolutely agree with Briman1970
It's painfully evident that Sedo needs lessons in business ethics, execution, delivery, customer service and client relations.

IB[/QUOTE]

 

[liquidcherry]

Well Guys, afaik Sedo belongs to 1&1--what do you expect???? :hehe:

for all who don't know it:

click here



Cheers,

Frank

 

[vanex]

1and1 are the biggest crooks on the market (and I can prove it)

 

[Dave_Z]

Ok, where are the so called actual winners then? Shouldn't they have long stood up, claiming their rightfully won auction, defusing the entire situation by proofing once and for all that there was nothing "fishy" going on?

They're probably following Sedo's steps right now to complete the deals as of
this post. Even if some of them choose to publicly state they "rightfully" won
fair, that's not going to stop some people from believing otherwise anyway.

Then again, those winners don't really have to do anything for anyone else.

 

[ownthisdomainnow]

Sedo has been more than shady for years. Is anyone surprised by this?

Go Afternic

 

[Jasdon]

They're probably following Sedo's steps right now to complete the deals as of
this post. Even if some of them choose to publicly state they "rightfully" won
fair, that's not going to stop some people from believing otherwise anyway.

Then again, those winners don't really have to do anything for anyone else.

Dave - the quote you highlighted was actually a quote by IntelBank, not me - I just ballsed-up the highlighting somehow!

 

[Dave_Z]

Whoops! To err is human.

 

[goodkarmaco]

1 and 1, lol thats got to be the dumbest buyout in history! Sedo what were you thinking?