John Boyd has it exactly right. As a retired lawyer I would tell you that the seller is legally wrong and his "policy" does not protect him when he sells a gun clearly having a major defect that is not consistent with the description he used and not disclosed to the buyer. That is not changed because he is selling the gun for a third party. However move on and do not let it consume you. This happened to me a couple of times and I was so glad to get the purchase price back that the shipping cost I paid was almost irrelevant.
By the way this happened to me both times with unsophisticated sellers and both changed the listing after I pointed out the defect and returned the gun.