Originator Reference Number

Member of armed forces or dependant?

Consumer First Name

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Consumer Military Status

Consumer Military Station

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Consumer Military Service Branch

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Company Address, State Code

Company Address, State Name

Company Address, Country Code

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Company Address, ZIP Code

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Company Phone, Country Code

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Company Rep First Name

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Complaint Info Initial Contact Method

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office@butterflylabs.com

http://www.butterflylabs.com

Computers: Equipment\Software

Deception/Misrepresentation

This company is offering a pre-order of equpiment. They have taken what looks to be around 4 million dollars in pre-orders, with no pictures of the product or videos. The Company is run by Sonny Vleisides who was charged in 2011 and convicted of running a scam. His prole forbids him from handling such funds, and the company failed to release this info till after 4 million dollars of business was done. They refuse to show products, what the money has been spent on or where it is going. https:postalinspectors.uspis.govradDocsPressRoomnr110114.htmHundreds of people are now concerened the have been taken again. Please look into this company As soon as possible, they might run in about a week or 2 when the product is supposed to be released. The company recently changed the name of it president so it would look better. Update 09/21/2012 Consumer wanted to know any additional steps he can follow consumer states that Butterfly Labs company is refusing to provide any information on there product

Computers: Equipment\Software

NOTE: In addition to the complaint notes immediately below, the North Carolina Department of Justice (NCDOJ) provided additional information in fields whose header titles are quoted and follow the complaint notes. --- County of Residence:Carteret

office@butterflylabs.com

http://www.butterflylabs.com

Shop-at-Home\Catalog Sales

Merchandise Received Late

Mail or Telephone Merchandise Order Rule

Butterfly Labs, Inc. initially stated that their product line will will be shipped in October, 2012, when the order was placed in June, 2012. Each month since they have been putting off the ship date stringing the customers along. To date, they have collected in excess of $10M of which they have claimed on various sites that they have not used any of the the money for development of their products. Thousands of people are currently as risk in losing their investment if this company latter proves to be a scam. Is there any way your agency can make sure that all the pre-order money has not been touched and remains in their coffer? Also, they keep changing the prices, specs, and product lines on their website, yet keep advertising the old product line on various advertising networks, e.g. Google, YouTube, etc. Im not sure if this is relevant, but Sonny Vleisides seems to be on probation for running some type of Lottery scam, yet Butterfly Labs is on record to be participating in various gambling activities. They also claimed to have filed the appropriate paperwork with the FCC to make sure that their entire product line passes mustard last year, yet to date the FCC claims that no such paperwork has been submitted, and now refuse to even discuss the issue though many of their customers have inquired. Please do everything in your power to make sure that this is not a scam. I have retained a copy of this request to you all so that Im on record for trying to stop this madness if its warranted.

office@butterflylabs.com

Support Representative

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Deception/Misrepresentation

I believe that the Butterfly labs may be a "vaporware" scam. They started accepting pre-orders for a product in June of 2012 and it is almost June of 2013. I was refunded my order from December but made a new order in light of a YouTube unboxing of an order and news of shipping. My current order is from this month and I am opening an inquiry with the FTC to ensure that this is not a scam. I later discovered that there was only ONE unboxing video and no other hard evidence of any received orders. The unboxing really had me convinced and I am now hearing of orders being shipped in July of 2013. I have also come to understand that the CEO of this company is an ex-felon from pump and dump schemes. The product offered from this company is one that I really seek for Bitcoin mining because it is using new ASIC designs over their old FPGA products that the company has successfully shipped to many customers. They sell products as high as $30,000 and as a result, may have millions if not tens of millions of customer money tied up. They refunded me the first time but maybe not this time. When they say pictures are a thousand words, I was convinced with the first ever shipment video. I will threaten civil action under UCCFTC regulations if I do not get a refund for this new order unless I get a clear shipment date by the end of this month. Else, I will pursue further action, please investigate this company for vaporware scamming. CEO felony record information: https:bitcointalk.orgindex.php?topic=110805.0

http://www.butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Deception/Misrepresentation|Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment

Mail or Telephone Merchandise Order Rule|FTC Act Sec 5 (BCP)

I feel as many customers of theirs cheated. They have been promising product from as far back as June 24/25 of 2012. They have not yet shipped but a few products to loyalists who have been in partnership with them to belittle other customers. (Customers with what I believe are valid complaints). They're website has said since January of 2013 after a lead product manager (Josh) had posted on the companies forum that they were shipping (Sending the product tot heir new homes). That shipping had been postponed a month (till the end of Jan - Feb - March - April - which they finally did send a few (Something like 5 to customers and like five to testers. Now they are saying that they are sending t hem but with now proof as requested by several customers. On your site for advertising giudelines http:business.ftc.govdocumentsbus35-advertising-faqs-guide-small-business They are in Material Breach because of the deceptive ways they're website they believe is a good enough cover for them to avoid lawsuit because they don't directly promise by saying " delivery may take 2 months or more after order. All sales are final." They believe that the addition of OR more gives them an endless amount of leeway to have the product ship. This has cause Monetary damages to consumers because of loss of value of the product to preform as originally intended. They have and are continuing to get new customers. Once payed its just another month before they will ship.. its still the same story... I am not looking to get my money back at this point I could care less its the fact that they keep making fun o new customers after they realize its a game that they fell for. Thank You for taking time to read my over done complaint. ~b(6)

sonny@butterflylabs.com

Computers: Equipment\Software

Deception/Misrepresentation|Failure to Honor Refund Policy|Country of Origin Incorrect

FTC Act Sec 5 (BCP)|Magnuson-Moss Warranty Act|Country of Origin

The turmoil between BFL and their customers primarily arises from promises made by BFL on delivery of a new line of their products. 1) Product announced in June of 2012. Pre-order moneys began to be accepted late June 2012. Product yet to be shipped. 2) Company in question employs a corporate officer having a prior Federal fraud conviction. 3) Company misrepresented claims that their electronics would comply with all FCC requirements, i.e. product testingqualification. 4) Company in question made statements in the public domain - communications to customers on the internet - that BFL would be providing refunds. Recently, the ability for customer refund, the formal policy, has been updated to deny refunds - all sales final. However, the specific products in question have not shipped for almost a year. An estimated 2 of customers have received product. The remainder wait in a pre-paymentpre-order limbo.

http://www.butterflylabs.com/contact/

Computers: Equipment\Software

Deception/Misrepresentation

company has 30,000 customers and is likely a long con. Read this: https:bitcointalk.orgindex.php?topic=110805.0 Then read this: https:bitcointalk.orgindex.php?topic=247310.0 Is Butterfly Labs breaking the law? Yes, American Federal Law - 33 (50.8) Yes, Kansas State Law - 2 (3.1) No - 10 (15.4) I dont know - 14 (21.5) Nobody Knows - 4 (6.2) Yes, European Law - 2 (3.1) Total Voters: 65

Milton Damerel Holsworthy

10770 El Monte Street #101

office@butterflylabs.com

www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule

I paid $362 for a 5GH/s Bit Coin miner from Butterfly Labs.They told me on their Facebook page I would recieve my order in June first of all and then they said it would definitely be with me by the end of August.I have still not received my order - this order was placed on 29th April!This company is operating above the law and say "all sales are final" but this cannot be acceptable when they do not do what they say in fulfilling their order's in time.I wish to get my money back from BFL and I have opened a Paypal dispute but I very much doubt BFL will refund me so this is why I need your assistance.Please can you get back to me and also contact BFL - my order #b(6) and my contact details such as my address are the same as I filled in on the 2nd page.Kind regards, b(6)

10770 El Monte, Leawood, KS 66211

office@butterflylabs.com

www.butterflylabs.com

Shop-at-Home\Catalog Sales

Never Received Merchandise|Not Notified About Late Shipment|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule

Hello, I payed money more that few months ago and not received it. I went to bank (Swedbank) and transfered $2675 USD + $40 USD money transfer fee. Since the payment day, the company ignores my emails, does not contact me. I read forums and see that many customers receives their purchases after 13 months after payments, or does not receive at all. I was at the bank and they told me they will be able to provide all the necessary information for complaint. I want to get back all my money, please, help me.

www.butterflylabs.com

Other (Note in Comments)

NOTE: To prevent interference with pending law enforcement action, prior to any investigative action, please contact the IC3 at SEARCH@IC3.GOV. Please check the "CSN Record Details page - Data Reference field" link for further details on IC3 data. --- Incident description: Their preorder system is greatly flawed. They charged me before I received anything.

office@butterflylabs.com

www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Computers: Equipment\Software

Deception/Misrepresentation|Failure to Honor Refund Policy

FTC Act Sec 5 (BCP)|Magnuson-Moss Warranty Act

The company offered a product that would ship after 2 months time. The order was placed on 492013. No item was received by 692013. A refund was requested and the request was ignored.

office@butterflylabs.com

http://www.butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late

Mail or Telephone Merchandise Order Rule

When I placed my pre-order with this company they told me 2 months until I received my product. They have refused to refund me at my request and they have just two days halted production of the product I ordered. This company is taking money for a product they can not produce. I have been waiting for over 2 months now and I want my money back.

10770 El Monte, Leawood

office@butterflylabs.com

http://www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Computers: Equipment\Software

Deception/Misrepresentation|Failure to Honor Refund Policy

FTC Act Sec 5 (BCP)|Magnuson-Moss Warranty Act

Email received after requesting refund: Hi b(6), Thank you for contacting Butterfly Labs. According to the terms you agreed to on checkout, all sales are final. Now that shipping of orders has begun, refunds will not be processed. Your order will be shipped per your position in the order queue. Thank you for your patience and understanding. For Jodys Customer Service Blog, and more, please visit our new BFL Forums at &lthttps:forums.butterflylabs.comblogsbfl_jody&gt Kind regards, Alicia BF Labs, Inc.

www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment

Mail or Telephone Merchandise Order Rule

Initially there was no time frame. Then they said 2 months from order date it would be shipped. Its been 3 months.

10770 El Monte, Leawood, KS 66211

office@butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment

Mail or Telephone Merchandise Order Rule

I ordered computer hardware from butterfly labs 427. I paid in full on 429. I emailed company asking when they would ship, when I would get the item. I also asked how I could refund an order. After 2 weeks they responded back to me, and said two months or more (never a firm shipping date) and said if I wanted a refund I could email the office@butterflylabs.com with my order number and information. After two months, I still had not received any information on when my order would ship, and asked to refund my money. They refused, stating all sales are final (even though I never received my product). It is my understanding that they must inform me of any shipping delays and must, each 30 days, contact customers and get agreement that they can ship later or provide full refunds as per FTC rules. Taking money for an item but never delivering the item does NOT imply a sale has occurred which invalidates "All Sales Final".

office@butterflylabs.com

http://butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise

Mail or Telephone Merchandise Order Rule

I placed an order on 03282013 and its still "in processing" status. I dont think im the first one filling a complaint against Butterfly Labs, anyway youll find out that this company is actually still shipping orders from half 2012. I kindly asked them to cancel my order and refund me but they are not even answering. Their legal terms are totally not complyant to FTC regulations but they still refuse to refund orders.

New South Wales, Australia

office@butterflylabs.com

http://www.butterflylabs.com/

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment

Mail or Telephone Merchandise Order Rule

I have ordered total of three Minirig (each selling for $29899, plus shipping $588) from Butterfly Labs, the company has to the best of my knowledge shipped one of this product to a high profile customer. Butterfly Labs has always maintained their products will be shipping soon. Initially product shipment seems to be highly dependent on core electronic chips they have ordered, which finally arrived around late Feb 2013. However, with the chips being available, there were and still are numerous technical issues that are preventing full shipment of their products. The extend of the companys backlog is evident on this website, http://bfl.ptz.ro, where many Butterfly Labs customers voluntarily entered their pre-orders and update their shipping status. On the site, hardly any Minirigs has been received. The companys representative Josh make regular shipping updates for the type of hardware being shipped on following website. https://forums.butterflylabs.com/blogs/bfl_jody It is very evident that they ship their product at a very unreasonable rate. Due to production time, techinical delay and as well as quick diminishing productivity of the ordered hardware, this means if eventually all the customers who pre-ordered the MiniRig, received theirs, it will be almost worthless in productivity term and worth its weight as a door stop, as the companys competitors are rapidly gaining pace and shipping their products. One of the many bitcoin users community discussion threads regarding the companys behaviour: https://bitcointalk.org/index.php?topic=150803 I have requested refund from the company early Jun 2013, it was refused three weeks later, saying all sales are final. Further plea in my reply, Josh said that they gave customers a chance to accept their redesigned hardware and doing that leaving me no room for refund. The bitcoin users community has pretty much agreed the companys behaviour of advertising, accepting and delay shipping large amount of pre-order since Jun 2012 has been unethical bordering on scams. My orders has been paid since Jan and Feb 2013 respectively.

office@butterflylabs.com

http://www.butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Never Received Merchandise|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule

First thing I should add is that Mr. Zerlan has been charged with fraud in the United States before this company existed. This is his second go at it. I have saved PDF files of my orders and account page to show what I mention below. I can e-mail them upon request. On July 3rd I attempted to force a refund via PayPal. My order number b(6) was then changed to "Complete Refunded" But I never received a refund. My other order is b(6) and I initially wished to keep that order. However with the problems that have come up, I want to cancel both. When order b(6) was never refunded I contacted Butterfly Labs Steven M. and he told me they were unable to give me my money back even though it had been 2 months since my order was placed. They label these as pre-orders or back orders, but they make you pay the full price before your product is even manufactured or even close to being manufactured. Other people have received refunds, but they recently stopped allowing them because too many people were requesting their money back. Paypal said that since it had been over 45 days since I placed my order they could not do anything. So Im basically at the mercy of Butterfly Labs. I canceled the Paypal request for a refund because they could do nothing. However, Butterfly Labs still shows my order as Completed and Refunded, when I have never received any refund and of course have proof of this in my Paypal statement archive. There are many people in the same situation. You can find them begging for refunds on the butterfly labs forums. https:forums.butterflylabs.compre-sales-questions While they do put up an "All Sales are Final" notice, they do not realize that its against the law to deny a refund if a product has not even been produced or shipped in a certain amount of time.

office@butterflylabs.com

http://www.butterflylabs.com/

Shop-at-Home\Catalog Sales

Merchandise Received Late|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule

Actually there where three different orders with a promised shipping within 2 months after ordering (5/1/13, 4/19/13, 4/18/13). They didn't ship the product, didn't give me a new shipping date and also refused to give me a refund.

office@butterflylabs.com

http://www.butterflylabs.com/

Shop-at-Home\Catalog Sales

Never Received Merchandise

Mail or Telephone Merchandise Order Rule

This company refuses to refund me or answer my emails or give a firm shipping date. They have had my money for months.

office@butterflylabs.com

www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Deception/Misrepresentation|Merchandise Received Late|Never Received Merchandise

FTC Act Sec 5 (BCP)|Mail or Telephone Merchandise Order Rule

I ordered a 5 GHs Bitcoin miner from the Butterfly Labs website about 3 months ago and was initially told my order would be shipped within the next three months. Its been 3 months and my order has still not shipped and from what I can gather on the companys website is that my order may not ship until 2014. Ive really frustrated with this company and all Im asking for is a full refund. I think another problem might be that the companys refund policy as stated on its own website is that all sales are apparently final. But I have heard of people getting refunds from this company, so its theoretically possible.UPDATE: 07/24/2013 Consumer states that he wantes to know what to do at this point.VGARCIA

support@butterflylabs.com

www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Deception/Misrepresentation|Merchandise Received Late|Never Received Merchandise

Mail or Telephone Merchandise Order Rule|FTC Act Sec 5 (BCP)

Hello. Butterfly labs is not responding to email or voicemails for a refund on a product I ordered April 1st 2013. They only say now it will be 2 months+ until the order will be shipped. Info from their site is below on refunds. http:www.butterflylabs.comfaq While we reserve the right to handle refund requests on a case by case basis, pre-ordered products are non-refundable as is clearly stated at the time of purchase. The reason for this is that pre-order funds are used in the build process which makes it impractical to reverse. Its also been observed that some small number of customers have placed orders as part of a bitcoin price hedging strategy which involves multiple requests to cancel and then re-enstate their orders as market conditions change. This has created an enormous customer service burden which is resolved by enforcing the all sales final policy. Some customers have asked why weve given order cancelation refunds to others, but they cant get one. The answer is that we had opted to process order cancelation requests during our long product development phase as a courtesy to those who endured the stress of the unknown. However, once full production began, a notice was sent out advising that orders would be shipped as produced according to the order queue and that if anyone was unwilling to endure the wait, they had a final opportunity to cancel. Customers were required to positively confirm their desire to remain in the order queue and accept the order terms. Pre-Order terms for new orders were updated on the website on April 1, 2013. The terms state, "I accept the terms of the sale and understand that all sales are final and there is a backlog of orders and production & delivery of my order may take 2 months or longer." As a Wyoming Corporation, we operate under the US Federal Trade Commissions business guide for mail or telephone ordered merchandise. The relevant guideline suggests that if no delivery terms are stated or agreed to, then 30 days should be assumed. In our case, weve gone to great length to ensure there is no ambiguity. Customers arewere notified of the back order situation, the inability to cancel their order and the multi month wait to be expected. Here is the relevant FTC guideline text: "when you advertise merchandise, you must have a reasonable basis for stating or implying that you can ship within a certain time. If you make no shipment statement, you must have a reasonable basis for believing that you can ship within 30 days.

office@butterflylabs.com

www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule

My order number is b(6) and is dated April 21, 2013. The company states on its website that delivery may take two months or more. They have not shipped my order in more than four months. In fact, they have backorders from June 2012 and have never shipped an order in two months. I believe the company has misled not only me, but thousands of other un-satisfied customers. I have contacted the company in hopes of getting a refund, but I do not believe they will give me one. I have also raised a dispute with Paypal. Please help me get a refund from this company. Thank you.

www.butterflylabs.com

Phone: 800/888 number

Internet Payment Services (e.g., PayPal)

Computers: Equipment\Software

Never Received Merchandise

The consumer ordered and paid for a computer hardware product from Butterfly Labs Inc and never received the item.

10770 El Monte St #101

office@butterflylabs.com

www.butterflylabs.com

Other (Note in Comments)

NOTE: To prevent interference with pending law enforcement action, prior to any investigative action, please contact the IC3 at SEARCH@IC3.GOV. Please check the "CSN Record Details page - Data Reference field" link for further details on IC3 data. --- Incident description: In late June of 2012, Butterfly Labs announced pre-order availability for a product they had tentatively slated for release in October 2012. As of the date of this email, the product I ordered has not finished development, nor has it shipped out to any customers yet. On June 24th, 2012, order number b(6) was placed in the amount of $1,333 USD for one of their 60GHs Single SC ASIC products. On June 25th, 2012, order number b(6) was placed in the amount of $733 USD for the trade-in of one of my existing Butterfly Labs FPGA products to be upgraded to a 60GHs Single SC ASIC product. On April 4th, 2013, order number b(6) was placed in the amount of $2,632 for two additional 60GHs Single SC ASIC products. It was believed that Butterfly Labs was to be imminently shipping. On April 4th, Butterfly Labs also doubled the price of their entire product line. After growing irate with the poor communication and estimates communicated by Butterfly Labs, I called their COO, Josh "Inaba" Zerlan, out on the Bitcointalk.org forums for being abrasive, disrespectful to their customers, and not managing this product development well. On May 16th, 2013, I received notice in the email that all my orders had their status changed to "On Hold for Refund". After calling Butterfly Labs on the phone to discuss the situation, and speaking with someone identified as Anthony, I was informed I would be receiving an official communication via email by a Jody. The emails follow. --- From: Butterfly Labs Inc <office@butterflylabs.com> Subject: Orders to refund Date: May 16, 2013 12:46:51 PM CDT To: b(6)> Dear b(6) It has been relayed to me that you are unhappy with our company and I was asked to cancel your orders. If you would send me a PayPal address I will send your money back to you ASAP. Jody BF Labs, Inc. --- I responded with the following --- From: b(6)> Subject: Re: Orders to refund Date: May 16, 2013 12:48:49 PM CDT To: Butterfly Labs Inc <office@butterflylabs.com> I am sorry, but that is erroneous. I have never asked for, nor do I wish to receive a refund. I have been patiently waiting for over 11 months now, and still have faith Butterfly Labs will deliver product. On May 16, 2013, at 12:46 PM, Butterfly Labs Inc wrote: > Dear b(6) > > It has been relayed to me that you are unhappy with our company and I was asked to cancel your orders. If you would send me a PayPal address I will send your money back to you ASAP. > > Jody > BF Labs, Inc. --- Butterfly Labs responded with the following email ---- From: Butterfly Labs <office@butterflylabs.com> Subject: Re: Orders to refund Date: May 16, 2013 3:30:16 PM CDT To: b(6)> Hello b(6) After reviewing your account, we have decided to end our business relationship with you. At this time, we are severing all business ties with you and will be refunding your money. This decision was based on a number of different factors and is final. Sincerely, Butterfly Labs, INC > > From: b(6)> > Date: Thu, May 16, 2013 at 1:37 PM > Subject: Re: Orders to refund > To: Butterfly Labs Inc <office@butterflylabs.com> > > > Additionally, looking at my account page, I see all orders are On Hold for Refund status. > > I would appreciate the orders being re-activated, and if need-be, please call me voice at b(6)

10770 El Monte St #101

support@butterflylabs.com

www.butterflylabs.com

Shop-at-Home\Catalog Sales

Merchandise Received Late

Mail or Telephone Merchandise Order Rule

Ordered a bitcoin miner from this company on May 1st 2013. The website said delivery by July. It is now July 30th and they have only shipped orders for the item I ordered up to November of 2012.

office@butterflylabs.com

http://www.butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late

Mail or Telephone Merchandise Order Rule

I called back Butterfly Labs around the 15th of march 2013 and talked to Josh Zerlan about when I would receive my two orders and I was told I would have them by this past June of 2013. I emailed them and asked for a complete refund and was told that there will be no refunds. I have now found out that some of their orders from June of 2012 are still not shipped and they are still advertising for new orders. They have no intention of ever getting caught up. If the did they would have three shifts. I would like your help in getting my money returned to me. All they have to do is refund my orders thru PayPal. I am not interested in sending anyone to jail I just want my money back. I await your replay. Thank you, b(6)

office@butterflylabs.com

www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment

Mail or Telephone Merchandise Order Rule

It concerns order b(6) Although the order has been placed over 3 months ago and still has not been shipped, butterfly labs refuses to refund, hiding behind their policy that no refunds can be granted.

http://www.butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late

Mail or Telephone Merchandise Order Rule

I pre-order 1 BitForce Little Single SC on 1142013 from Butterfly Labs. At that time they were advertising that it would be shipping in 2 months. After over 6 months of waiting I requested a refund which they denied. No product has ever been delivered to me and the company seems content with stringing consumers along. Currently on their website the advertise the products as orders when they are actually pre-orders for a product that has no chance of shipping in 2 months time as advertised. Butterfly Labs is making false claims and refusing refunds to customers who paid for a product over 6 months ago.

office@butterflylabs.com

http://www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule

I placed 2 pre-orders for their 60Gh Single SC with this company: one in October 2012 and one in February 2013. The product has been in design and development for awhile and is finally shipping now, albeit the final product specifications are much worse than the expectations set by the companys COO. In addition, the products assembly and shipping are progressing extremely slowly. The expectations set by the COO were that 400 units can be assembled and shipped per day, whereas the actual numbers I believe are much lower (~50). The company refuses to disclose the actual count of shipped units or explain the slowness. One caveat is that the product is a so called "Bitcoin Miner" and the company has the ability to directly profit from keeping the products in their possession as long as possible, at the same time reducing potential profits of their customers. No direct evidence of this happening is available to me, although some circumstantial evidence does exist. The pre-order line is pretty long as the company has collected over $5 million from the said pre-orders by some estimates. Due to the companys intentional or unintentional slowness and extreme time sensitivity of this product, as described above, I wanted to cancel my second (Feb13) order, but was denied.

http://butterflylabs.com/

Other Payment Method (Note in Comments)

Shop-at-Home\Catalog Sales

DDM|LJA|LJB|LJC|LJD|LJE

Deception/Misrepresentation|Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule|FTC Act Sec 5 (BCP)

I made a web sight explaining my complaint about this company its so profound. http:angelitominer.atwebpages.com

10770 El Monte, Leawood, KS 66211 U

office@butterflylabs.com

http://www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule

I tried resolving the issue with their customer service, but they have no policies except: "we WILL NOT refund under any circumstances, and your order may take more than 2 months and a half". This is not a policy, it is a scam. And the more I dig the worst it is. I made my order on 14 April 2013. According to their shipping list (which is a blog, very professional), they are now shipping orders paid on 25 June 2012. Yes, 2012.... They are 13 months late. 13 months, a YEAR and a MONTH to receive an order. Shipping List: https:forums.butterflylabs.comblogsbfl_jody And the cherry on top is, the order is a bitcoin miner, which...looses powervalue the more time goes by (hash difficulty increases). This is NOT professional and not acceptable.

office@butterflylabs.com

http://www.butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Deception/Misrepresentation|Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment

Mail or Telephone Merchandise Order Rule|FTC Act Sec 5 (BCP)

I tried to cancel my order, since it has not shipped. This is the e-mail I sent them. After 2 Days, they declined my refund request. Order #: b(6) Paypal TXID: b(6) To whom it may concern: Dear Madam or Sir, On May 1st 2013, I ordered one 25 GHs Bitcoin Miner for US$1,249.00 plus shipping. It was paid on May 2nd 2013. When ordering, it is stated: "I accept the terms of the sale and understand that all sales are final and there is a backlog of orders and production and delivery of my order may take 2 months or longer." Furthermore, at the time of ordering, your FAQs stated a similar figure. Additionally, on May 1st 2013, you announced: "Shipping of our BitForce SC ASIC miners has begun! You may have seen news reports of our ASIC miners in the wild and some of you may have already taken delivery. Its all true. Were finally shipping. You will receive your order as we work through the shipping queue." Therefore, I request a refund on the following bases: - A sale has not taken place. A sale would have taken place once my order was shipped. - FTC regulations require you: [1] - to supply a reasonable shipping date representation. Since you stated shipping may take 2 months or longer, that is either a) not a representation and 50 days applies or b) a representation of about 2 months, with advance information that there may be future delays. - to provide a delay notice in case of delays (of unknown length), with the option of canceling. I did not receive one. - to cancel an order when the customer exercises any option to cancel before you ship the merchandise. - I ordered in good knowledge of your 2013-05-01 announcement that you are shipping. However, in the past 3 months since this announcement, you have not even shipped the first two weeks of your 1-year long backlog of the product I ordered, which makes your announcement and the "2 months" figure a gross misrepresentation. At the current rate, I would be lucky to see my product before the end of 2013. Due to changed circumstances, this is not acceptable for me. [1] : http:business.ftc.govdocumentsbus02-business-guide-mail-and-telephone-order-merchandise-rule Best regards, b(6) The response: Hi b(6), Thank you for contacting Butterfly Labs. According to the terms you agreed to on checkout, all sales are final. Now that shipping of orders has begun, refunds will not be processed. Your order will be shipped per your position in the order queue. Thank you for your patience and understanding. For Jodys Customer Service Blog, and more, please visit our new BFL Forums at &lthttps:forums.butterflylabs.comblogsbfl_jody&gt Kind regards, BF Labs, Inc.

office@butterflylabs.com

http://www.butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Computers: Equipment\Software

Deception/Misrepresentation|Failure to Honor Refund Policy

FTC Act Sec 5 (BCP)|Magnuson-Moss Warranty Act

Dear SirMadam, I am writing to complain about Butterfly Labs, a company that uses misleading information to convince customers to place orders for computer hardware that are not delivered in promised time, and that uses the pre-order cleared funds paid for orders that never arrive as a free loan. They do this while failing to abide by consumer laws allowing customers to cancel orders not delivered by promised date. Please investigate this company and help hundreds of defrauded customers like myself recoup their money by demanding that they honor consumer laws regarding cancelling orders of undelivered products. On April 24th 2013 I purchased 2 computer hardware products from Butterfly labs. Information on their website said that the product would ship within 2 months and firm estimates were given that the worst case would be 3 months (End of July). This is effectively a promise that they would deliver by the end of July. They have failed to deliver the product and now claim that they can take arbitrarily long to deliver the product without the possibility of refund. They claim that when I ordered the product that I agreed to an indeterminate delay. Note that my order has _NO_ promised delivery date. This goes completely against federal trading laws which state that that if a vendor does not deliver by a promised delivery date he must offer the customer the opportunity to cancel the order. In fact the purchase order that I made states no promised delivery date. The default ruling would be that if they do not deliver within 30 days they must allow me to cancel my order. The products I purchased were as follows: 2x 50GigaHashsecond "SC" Special purpose Bitcoin Mining Machines. Each cost $2499.00. The shipping cost was $176.00. Thus the total order was for $5174.00 My order number was b(6). Hence, Butterfly labs has taken $5174.00 of my money and has not delivered their product in the promised time frame and refuses to refund my money. Separately, Butterfly labs has repeatedly given firm estimates that a product will be shipped by a certain date and then failed to deliver on promises while making cancelling orders very difficult. Their repeated false estimates is a form of misrepresentation that traps unsuspecting consumers into handing over their money to a company that uses the money as a free loan, never delivering the product. This is essentially a form of fraud. I would very much appreciate if the FTC would investigate this matter on behalf of many hundreds of consumers just like me as there are many people in the same situation. I hope you will consider compelling Butterfly Labs to behave ethically and legally and to allow customers to get refunds for non-delivered orders. I also hope you consider investigating this company for unsavory business practices and fraud. Thank you in advance for any assistance Best Regards, b(6)

office@butterflylabs.com

www.butterflylabs.com

Chief Operating Officer

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Never Received Merchandise

Mail or Telephone Merchandise Order Rule

Butterfly Labs (BFL) started taking orders for computing devices in May 2012, initially promising shipping starting October 2012. Shipping finally started in April 2013. I ordered on May 2, 2013, on their claim in their own forums that backlogs will be shipped by the end of August. By June, they were claiming backlog shipping by the end of September. As of August 2, they were shipping product type similar to my order from November 14, 2012 payment date, and other product types from June or July 2012 payment date. BFL has refused to provide any timetables or other info regarding definite shipping dates, except the payment dates of orders shipped for the day, and the statement "all backlogs will be shipped by end of September". They also do not confirm shipping delays regularly with customers as required by the mail and telephone order rule, and have stopped accepting refund requests because they are "already shipping", even as their shipping manager has acknowledged a slowdown and a lack of any need to hire more workers due to lack of parts. This complaint is filed specifically because I believe BFL violates FTC's rule regarding provision of definite shipping dates ("by end of September" and "at least two months from now" are not definite dates), the rule on reconfirming shipping delays from customers and obtaining explicit approval of the delay, and the rule on refunds.

10770 El Monte St #101

office@butterflylabs.com

http://www.butterflylabs.com

Order placed via website

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Never Received Merchandise|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule

On 4913 I placed order b(6) with Butterfly Labs for a 5 GHs Bitcoin Miner. I paid $288 for the order via Paypal. I expected the order to take approx 2 months to fill.On 61913 I upgraded order b(6) to a 7 GHs miner for an additional $100 via paypal.On 7313 I e-mailed office@butterflylabs.com asking for an estimated shipping date, since it was supposed to have shipped around the end of June.On 71013 I received an e-mail back from Butterfly Labs from someone named Abbey indicating that the could not estimate a ship date.On 73013 I again e-mailed office@butterflylabs.com asking for an update, and inquiring about the process to cancelrefund my order.On 8513 I e-mailed office@butterflylabs.com asking them to cancelrefund my order.On 8613 I received an e-mail from Butterfly Labs from someone named Alicia stating that they still could not give me a shipping date, and that I could can not cancel my order.Paypal was able to refund $100 of the transaction (the $100 I paid for the upgrade) but was unable to assist with the $288. I simply would like Butterfly Labs to cancel my order and receive a refund. Any assistance you can provide with this would be appreciated.:update: 08.06.2013 _Consumer called for additional EDU. WSmith

office@butterflylabs.com

http://www.butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Deception/Misrepresentation|Merchandise Received Late|Never Received Merchandise

Mail or Telephone Merchandise Order Rule|FTC Act Sec 5 (BCP)

I placed an order and they did not ship within the estimated time and they have no time as to when they will be able to ship. They have refused to refund.

British Columbia, Canada

office@butterflylabs.com

http://www.butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Never Received Merchandise|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule

I originally ordered the hardware product (60 GHs Bitcoin Miner) on Mar. 21, 2013. I opted to have the product hosted by Butterfly Labs (BFL) on Mar. 30, 2013 for $25month. $129, the original shipping cost that I paid, was instead applied to my hosting account. On May 1 I was advised that the product would consume multiple times more power than originally promised, and as such, I would be required to reconfirm my purchase. I did reconfirm several weeks later, on the promise of $25month hosting. On July 23, BFL informed me by email that the hosting price offer had been changed to $100month, presumably to account for the higher power consumption. I immediately contacted BFL asking for a refund given that my order confirmation in May was conditional on $25month hosting. They have repeatedly declined to give me a refund. Furthermore, BFL has offered no timeline for delivery, and they have failed to deliver within 30 days, and are refusing a refund on this basis as well.

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

DDM|LJA|LJB|LJC|LJD|LJE

Deception/Misrepresentation|Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule|FTC Act Sec 5 (BCP)

I placed first order on April claiming they will ship in 2 months and still no shipment and it is past 45 days to file a dispute with paypal. After that i placed 3 more orders in a good faith that the company will deliver and after that they claimed they are not issuing any refunds and they are not meeting shipping time frame. I contacted them via email to cancel my orders and they said all sales are final and they will be shipping all sold items by end of sept and i ordered in April and June that is was past 30 days so i opened a dispute with paypal and the moment i opened the dispute, they marked my orders as refunded and in the dispute they told paypal in the claim that they shipped my items and they did not provide any tracking number. I can provide any details you need to support my claim and there are lot of people like me who are being scammed by this company. Thank you

office@butterflylabs.com

http://butterflylabs.com/

Unknown/Customer Service?

Other Payment Method (Note in Comments)

Shop-at-Home\Catalog Sales

Merchandise Received Late

Mail or Telephone Merchandise Order Rule

Payment was made in bitcoins. This complaint is being made due to a reasonable belief that they have not lived up to their ToS by remaining intentionally vague about their shipping practices.

office@butterflylabs.com

www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Never Received Merchandise

Mail or Telephone Merchandise Order Rule

Visited Butterfly Labs web site offering computer peripheral for sale. Ordered online, paid in full via PayPal on 23 May 2013. No product delivered, no date when product will be delivered (well over 60 days since order). Follow up emails (6 plus from PayPal) plus phone calls to their offices describing failure to deliver - unsatisfactory response from Butterfly Labs - suggested remedy - refund in full on order b(6) plus paid upgrades. No refund made. I am an internet consumer - found a product, paid in full and have not received it within an acceptable time period. Many believe the product to be an investment (it mines Bitcoins) or that the payment to BFL was a pre-order for the future build of a product but I am clear I ordered, paid and expected delivery - just like Amazon. My guess is they are using recent order funds to support their ongoing business and will at some point default (my speculation only and fear given observed behaviours and blog activity). I request, as is my right, a refund in full on order b(6) including upgrades paid for $1533

office@butterflylabs.com

http://www.butterflylabs.com/

Other Payment Method (Note in Comments)

Other (Note in Comments)

NOTE: To prevent interference with pending law enforcement action, prior to any investigative action, please contact the IC3 at SEARCH@IC3.GOV. Please check the "CSN Record Details page - Data Reference field" link for further details on IC3 data. --- Incident description: This company sells pre-orders for computer hardware that doesn't exist. They create the illusion that they'll be shipping your order in "just two more weeks!" but it never does. I placed my order back in February and would like a refund, but this company is all of a sudden officially denying refunds to customers WHEN THEY HAVEN'T SHIPPED THEM ANYTHING! This is how an official spokesman for the company represents himself on forums: http://i.imgur.com/lWCWk9a.png http://i.imgur.com/30IUkLO.png What this company is doing is illegal. You can't just decide to deny refunds to customers when you haven't shipped them anything. I hope this gets looked into Thank you. --- Specified Other Payment: Paypal

office@butterflylabs.com

http://www.butterflylabs.com/

Other (Note in Comments)

NOTE: To prevent interference with pending law enforcement action, prior to any investigative action, please contact the IC3 at SEARCH@IC3.GOV. Please check the "CSN Record Details page - Data Reference field" link for further details on IC3 data. --- Incident description: I ordered a 5 Gh/s bitcoin miner on April 5, 2013 from Butterfly Labs. I knew that they were not shipping yet, but was under the impression they would be shortly. On July 1 I asked for a refund and my order canceled because it was taking too long and I hadn't heard anything yet. Their response was that all sales are final, and would not respond to further inquiries. Over three months and counting is not a reasonable shipping time, I would never have agreed to a purchase of this item if I had any idea how long it would take to fulfill (if ever). I still have not received the item or have any idea when I will if ever. I could not use paypal's dispute option since it has been over 45 days since I made the purchase. Butterfly labs order number: b(6) Paypal complaint number: b(6) Paypal transaction number: b(6) --- Specified Other Payment: Paypal

office@butterflylabs.com

http://www.butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule

At the time of the purchase (April 2013) the company stated that the delivery time would be upto 2 months. By now 4 months have passed and the purchased device has not been received. They also state that all sales are final which violates consumer laws of the FTC. I cancelled my order on 26th of July 2013 which they refused by referring to their All sales are final TOS.

office@butterflylabs.com

Shop-at-Home\Catalog Sales

Never Received Merchandise

Mail or Telephone Merchandise Order Rule

Butterfly Labs has failed to deliver, denied my refund request, and violated PayPals Terms of Service for pre-order sales. They also had said refunds were available and then took the option away with no notice. Constant delays has misled the buyer.

office@butterflylabs.com

http://www.butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Never Received Merchandise

Mail or Telephone Merchandise Order Rule

In summary, BFL has been taking pre-orders for ASICs since June 23, 2012. They started shipping out Jalapeno line in late May and other product lines in late June of 2013. Some customers have been waiting for 12+ months for their orders. They will not give out refunds. I have spent 6 months waiting and would have to wait another 3+ more months. This is beyond unacceptable. I sent e-mail to cancel & refund on August 10 and have not heard back from BFL.Complaint I filed with Paypal is copied below. Paypal was unable to help since I am past 45 days from order date. My Paypal Complaint:I pre-ordered 60 GH ASICs from BFL on Feb 16, 2013. I believed BFL would ship my order within 6 months from the optimistic info I saw posted on the forums by Josh (BFL). But that never happened. It is going to take another 3-6 months before they ship my order to me. I am no longer interested in receiving this product from BFL. BFL first began shipping out 60 GH ASICs around June 21, 2013. BFL is currently sending out June 30th, 2012 pre-orders. I want to receive a refund for my order. I sent BFL an e-mail on Aug 10 requesting a refund and it was simply ignored. Other customers are also upset with BFL taking pre-orders for 12 months and not allowed to refund their purchases either.Taking pre-orders for 1 year, not delivering product within 30 days of order and having customers wait indefinitely for BFL to make and ship ASICs is wrong and illegal. No idea how BFL is able to get away with this. This is the first time I have experienced and had to deal with something like this. I will proceed to file complaint with FTC and attempt credit card charge back if Paypal is unable to refund this purchase.I will not allow any business to make me wait 9+ months to receive an order from them. That is simply crazy and stupid!!!PS,My August 10th e-mail to BFL which asked for a refund is way too long to include with this Paypal message. I can provide a copy of it if required.Aug. 10 e-mail to BFL below:August 10, 2013To: BFL (ButterFlyLabs)Re: cancel & refund my orderDear CSR,You are to cancel and refund order # (removed) ASAP.(order # removed) 21613 b(6) $5,284.00 ProcessingI wasted 6 months already and very unhappy about waiting an additional 2-4+ months more for my ASICs to be shipped out!!!As for, "all sales final" and "2 months or more", that is in violation of FTCs 30 day delivery or reconfirm requirement. A product must be sent within 30 days of order date or on another, "specific" date agreed upon by the customer. Unless you comply within 7 days, I will have no choice but to file legal complaints with:- Paypal - to cut-off your payment method and try to do reversal- FTC- Kansas State Attorney General (Derek Schmidt)- Better Business Bureau (BBB)I will ask them to investigate and fine BFL for: - Illegally withholding refunds - circumventing consumer protection act - Collecting pre-orders for 12 months (illegal)- Using early, customer pre-orders, June - Sept 2012, etc., to fund ASIC development and - For misrepresentation - false info on delivery dates provided by BFL_Josh to con customers into buying and holding onto orders. ie. not cancelling themThe choice is yours whether to provide me with a refund and not have any further problems or to escalate this into a legal battle that you will lose.b(6) UPDATE 8/15/13: Calling with a correction on this complaint.ELouderimlk

office@butterflylabs.com

www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Never Received Merchandise

Mail or Telephone Merchandise Order Rule

I initially ordered via the www.butterflylabs.com website, orders b(6) and b(6) That was on 232013 and 272013 . In the past 6 months, the company has strung the customers on making misleading claims about imminent order fulfillment, but as of this complaint they are still many many months behind on the products that i ordered. The last shipped orders are apparently September 10th 2012 (for the same product as my order b(6)) and June 30th 2012 (for the same product as my order b(6)) for the product lines I ordered (see link https:forums.butterflylabs.comblogsbfl_jody286-thursday-august-15-2013-shipping-update.html). I was denied a refund today via email.

Inactive Reserve/National Guard

MD-BETHESDA NSA/WALTER REED NATL MIL MED CTR

"Office" Representative

"Office" Representative

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise

Mail or Telephone Merchandise Order Rule

Hello, I ordered a Bitcoin miner from Butterfly laps on February 8, 2013 and was expecting to receive the product within a few months. I have still not received the product and they are shipping orders out from July of 2012... My order is still seven months out from being completed. Again, I was expecting the product within a few months following the purchase. I believe this is fraud. They are claiming that we cannot cancel our orders because they need calculate operating costs, but according to their website, they are shipping products from July (see here https:forums.butterflylabs.comblogsbfl_jody my product is a single SC). Can you please refund my money, and request payment back from them. I am sure this is not the first request you have had concerning Butterfly Labs. Here is their website: http:butterflylabs.com Thank you, b(6)

office@butterflylabs.com

www.butterflylabs.com/

Shop-at-Home\Catalog Sales

Deception/Misrepresentation|Merchandise Received Late|Not Notified About Late Shipment

FTC Act Sec 5 (BCP)|Mail or Telephone Merchandise Order Rule

I ordered a product from the company in his web in 42713, with order number b(6). The estimated delivery time was 2 months. I havent received no information about delay, and . Two months and two weeks from the order I requested the company to cancel my order. The company company refused my request in date 07192013 His answer was: "Thank you for contacting Butterfly Labs. According to the terms you agreed to on checkout, all sales are final. Now that shipping of orders has begun, refunds will not be processed. Your order will be shipped per your position in the order queue". I replied that the company has passed the deadline and this will constitute and unfair act according to the Business Guide to the FTCs Mail or Telephone Order Merchandise Rule, established by the Federal Trade Commission rules in its section 435.2. I havent received any response to my last mail. So I consider that Butterfly Labs Inc. has passed the deadline for delivery clearly established (two months) and 30 days more, and that they have not offered me, clearly and conspicuously and without prior demand, an option either to consent to a delay in shipping, in a clearly and conspicuously shipping date, with a reasonable basis for making such representation, or to cancel my order and receive a prompt refund. And as they havent canceled my order as I requested they are breaking Article 435.2. (c). PD: I have the documents of the order, my emails and the mail with the company refusing my request to cancel the order.

office@butterflylabs.com

http://butterflylabs.com/

Computers: Equipment\Software

Deception/Misrepresentation|Failure to Honor Refund Policy

FTC Act Sec 5 (BCP)|Magnuson-Moss Warranty Act

I placed a pre-order for a 50GHs butterfly labs bitcoin miner on April 27th 2013. At the time of my order I was informed that the estimated time to ship was "up to two months or more". I requested a refund on July 15th 2013 and was immediately denied and was told that because I accepted their no refund policy that I was not entitled to a refund despite my order being at least an additional 6 months away from shipping.Because I waited the estimated 2 months for my product I passed the 45 day window that my credit card and Paypal have to file a claim and now have nowhere else to turn for a refund on a product that was never intended to ship in 2 months and was only listed as 2 months so it would not be disputed by the major credit card companiesPaypal. UPDATE: 8/23/13 Consumer called back to inquire if the company has been informed of the consumer's complaint. I explained the FTC role and recommended the consumer contact the BBB. NLazar.

www.butterflylabs.com

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise

Mail or Telephone Merchandise Order Rule

This company has denied my request for a refund. They promised shipment of hardware in 4-8 weeks of initial order. As of this filing (August 19, 2013) No update has been given to me in at least 30. I simply want to cancel my order as the company has not given me a proper timeline on when to expect my product.UPDATE 10-21-13 Consumer called to ask what the next step is.HNieves

Shop-at-Home\Catalog Sales

Merchandise Received Late|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule

Butterfly labs is 10 months past reported shipping time. Company has denied my refund requests. I still have not received a shipment. I ordered on 862012. Promised shipping was Oct 2012

www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Deception/Misrepresentation|Merchandise Received Late

Mail or Telephone Merchandise Order Rule|FTC Act Sec 5 (BCP)

There are thousands of other customers affected by their illegal business practices. I will also be seeking seperate counsel in order to recoup my lost revenue. See: https:www.google.comsearch?q=butterfly+labs+review&oq=butterfly+labs+review&aqs=chrome.0.69i57j0l3 j69i62l2.2849j0&sourceid=chrome&ie=UTF-8

office@butterflylabs.com

http://www.butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule

This dispute is over four order numbers totally b(6) These were supposed to be shipped out in May, however they notified me to tell me that the date was being pushed back to July, and then again I read they will be pushed to July, and now it is almost September and I have requested a refund and have gotten no response. Ive filed a case with paypal however it is outside their 45 day policy. I have read online that many people placed orders however NONE have received anything and have not heard back from the company.

office@butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Not Notified About Late Shipment

Mail or Telephone Merchandise Order Rule

Computer peripherals were purchased in January (b(6)) and in February (b(6)) this year. (PP-xx is the Paypal cases I opened for refund,but they were closed (outside 45 days)) At both that times a shipment in February was advertised on their site. Since then only delays followed ("In a few weeks", etc.). Later they changed all their web site texts to "all sales are final" and now deny me any refund. I think they are doing a major fraud and only ship a small percentage of ordered products. Moreover this clearly violates Paypals TOS and FTC Rules regarding presales. Please make them refund according to FTC rules. Paypal has not been any help. Thanks and best regards, b(6)

josh@butterflylabs.com

www.butterflylabs.com

Shop-at-Home\Catalog Sales

DDM|LJA|LJB|LJC|LJD|LJE

Deception/Misrepresentation|Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule|FTC Act Sec 5 (BCP)

Company claims to be shipping hardware by August 2013, at the rate its going hardware will ship by 2014 and will be useless to me. They refuse to provide a refund even though i have not received anything at all. Violating trade laws.

orders@butterflylabs.com

http://butterflylabs.com/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Deception/Misrepresentation|Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment

Mail or Telephone Merchandise Order Rule|FTC Act Sec 5 (BCP)

I placed an order with Butterfly Labs on March 29, 2013. I paid that day using the BitPay.com service. Today is August 22, 2013 well past 30 days. I initiated an email request for refund with the company on August 21, 2013 and have been denied in no uncertain terms three times. On the third time the company denies having refunded anyone for the past "several weeks." However, there is an online community at bitcointalk.org where a number of members have disclosed in the last 3 weeks having received refunds. I know of no incentive for these forum users to lie, but these facts seem irreconcilable. It seems that PayPal users have been successful in getting refunds, and I just want that same fair treatment.

office@butterflylabs.com

www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late

Mail or Telephone Merchandise Order Rule

Put in an orderpaid for a BFL Minirig 1.5TH on 32513 for $30,247. Website said order would be fulfilled in 2 months. They have been moving the delivery date further back, month after month. It has been 5 months now, no product delivered and they are not giving anyone refunds. I want the product I ordered, if they cant deliver me one ASAP, then I want a refund.

www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise

Mail or Telephone Merchandise Order Rule

I ordered this computer hardware over a year ago. This company has delayed and delayed yet has not shipped the product. Also, they are forcing people to accept the product without a power supply (and refusing to send one at later date) or lose their place in the order queue if the customer states they want a power supply. The power supply was part of the original purchase and the company has provided no consideration to modify the terms of the contract. Order #b(6) Order Date: August 13, 2012 b(6) Shipping Method Standard Shipping - Only Payment Method PayPal Items Ordered Product Name SKU Price Qty Subtotal Subtotal $1,398.00 Shipping & Handling $34.00 Grand Total $1,432.00 Amount due $0.00

Inactive Reserve/National Guard

office@butterflylabs.com

http://butterflylabs.com/contact/

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment

Mail or Telephone Merchandise Order Rule

I wanted to cancel at least 1 of my 5 orders because they have taken 4 months and they still havent shipped any of my orders I dont want to cancel them all but at least 1 of them for $1130. And I feel that by making me wait and not giving me any option of getting my money back they are breaking the law.

info@butterflylabs.com

http://www.butterflylabs.com/contact/

shipping representative

Other Payment Method (Note in Comments)

Shop-at-Home\Catalog Sales

Deception/Misrepresentation|Merchandise Received Late|Not Notified About Late Shipment

Mail or Telephone Merchandise Order Rule|FTC Act Sec 5 (BCP)

I ordered and pre-payed half the advertised price for a asic number cruncher in JulyAug 2012 This company constant kept taking orders and after 1 year they contacted me that they was going to send me an device what i did not pay for i was waiting for them to send me a order to pay the missing $ 1200.00 and would receive the SC single as ordered But instead they send me a device only worth $ 175.00

office@butterflylabs.com

www.butterflylabs.com

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Never Received Merchandise

Mail or Telephone Merchandise Order Rule

The company, Butterfly Labs, is non-responsive to my direct emails. When I placed my order with them in May of 2013, I was led to believe that my product would ship in 2 to 3 months based on message board posts from their representative, Josh, on their sites message boards. Current discussions on those same boards indicate that my product will not likely ship for quite some time. Also, at the time of placing my order, I noted that BFL were honoring order refunds for customers who were requesting them. They have now changed their policy to not honor any refunds, which I just learned today by reading their message boards. When I placed my order, the following terms were posted on their website: "Pre-order Terms: Bitforce SC (ASIC) products are shipped according to placement in the order queue, and delivery may take 2 months or more after order. All sales are final." Since placing my order on May 8, 2013, I have not received any updates from them via the status of my order.

New South Wales, Australia

10770 El Monte, Leawood, KS

office@butterflylabs.com

Other Payment Method (Note in Comments)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment

Mail or Telephone Merchandise Order Rule

I paid via Bitcoin. Its been over one year and have only received half of the order. I have been more than patient and I need them to ship the product I ordered. Originally the shipping was expected to take under one month.

10770 El Monte St #101

Internet Payment Services (e.g., PayPal)

Shop-at-Home\Catalog Sales

Merchandise Received Late|Never Received Merchandise|Not Notified About Late Shipment|Prompt Refund Not Received|Proper Refund Not Received

Mail or Telephone Merchandise Order Rule

On April 3, 2013 I sent $163 USD to BF Labs Inc for computer equipment. There were many "estimated shipping deadlines" that had come and gone without any issuing of tracking numbers or receipt of item. On July 1, 2013 I was told that shipping was imminent and that I could opt to upgrade my order, so I sent an additional $100 USD. Last week I sent a request to BF Labs via email asking for a refund as I no longer believe that they are operating in good faith and continuing to take orders without shipping. I received a response on this past Friday stating that they will not refund or cancel my order. They have violated the Terms of Service in that they are obligated to ship their product within a reasonable amount of time. I would just like my $263 back.