eBay Labels - Item Lost in Transit

[flipistics]

I had my first one of these today (item lost in transit by the USPS, Tracked Packet USA).  I'm making this post in part because eBay has never told us how we're supposed to handle this, so I'm prodding devon@ebay to get us an official answer. 

I've refunded the buyer. It went out for delivery about 2 weeks ago, never actually got delivered, then bounced around some sorting facilities. The address is valid according to Canada Post's address complete. I've filed a claim with Canada Post (we'll see how that goes).

[dinomitesales]

Minor update:

Received another email from Canada Post Claims department today (May 2) letting me know that they still hadn't heard from the buyer. I sent another polite eBay message to the buyer encouraging them to respond to the claim request from eBay.

This will be the last time I contact the buyer regarding this - I don't want it to feel like I'm harassing them, and the dollar amount at stake here isn't worth it to push the matter any further.