A client states he purchased a guitar from a website and it was a fake website. He never received a confirmation email of his purchase and tried to revisit the site and it was no longer available. I disputed the case as a merchant dispute - client did not receive merchandise.

We received merchant document stating the transaction was legitimate and the client authorized the purchase of a downloadable item. The name, address and email of course match our client but the AVS street address check failed and IP address is 2 hours away from where our client lives. I am wanting to rebuttal that our client didn’t download the merchandise since the IP doesn’t match him and street address was not an AVS match.

Does that sound like enough proof for a rebuttal or should we accept the merchandise and deny the claim that our client got what he paid for as a download?

You can download a guitar?

The client claims he purchased a guitar but was not given any type of receipt. The merchant is stating he paid for something else that could be downloaded. The merchant also did not provide a receipt so I am not sure what was paid for according to the merchant.

It sounds like you have evidence that your customer did not receive benefit from this transaction. The address mismatch would seem to indicate that your customer also did not authorize the transaction so you have enough information to conclude that an error occured and you owe the customer the money.

The address and IP mismatches givve you the ability to file pre-arbitration to recover the funds for the bank if your customer is kind enough to write an updated letter that refutes the merchant's compelling evidence.