You either will have to fight it showing tracking number and proof of delivery like signature confirmation if u purchased that or you need to refund the buyer. The case is open and the buyer asked for refund not replacement correct?? U could respond to the case asking the buyer if he wants a replacement and if he agrees than he will need to close the case it does not close automatically
There should be a date for when u need to refund the buyer if no refund is issued than the case escalates to ebay( which u dont want) and they will most likely refund the buyer even if u have tracking not sure if it will go in ur favor if u also purchased signature confirmation
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