I had a "refused delivery" issue not too long ago.
Another AK'er and I had agreed on a trade, I shipped my gear, and as he was preparing for shipment he broke part (Tonearm) of his gear. He tried to send a substitute, and explained that it was as good as the original. My concern over the sub was that it didn't contain the upgrades as the original (which was a bullet point while offering it to me, and a potential bullet point should I decide to pass the gear along).
We discussed it via email, and he agreed to repair the item and send it to me, and I would send back the substitute. When he found out the cost of repair which was apparently too costly for him, and rather than discuss it with me he simply refused delivery. I received an email telling me the deal was off.
The issue as I see was a few things.
He should have discussed the repair cost, and maybe we could work something out.
It's unfortunate that he broke it, however what ever happened to honoring a deal?
Lastly, it took over two weeks to get the gear back from USPS (even though I sent priority mail). Once I got it back, it needed to be unpacked (inspected for damage), re-packed, and then back to the drawing board to re-sell it. To the AK'ers credit, he did cover my original shipping costs, but he simply walked away, while I got nothing but hassle.
It's unlikely I'll do business with the individual again, and the reality is I'll most likely never do a trade via shipping again.