I won't mention any retailers by name, but this happened recently and I'm not sure what to do.

I placed an order from an online retailer for three items. Two items showed up, in separate boxes. The third (and most expensive by far) item never arrived.

The company is saying that as far as they're concerned, it was delivered. My credit card company says anything delivered isn't covered by purchase protection. I made the purchase via PayPal, so now I've opened a case with them.

I've now been charged hundreds of dollars for something I never received and the missing item was to be a gift for my DH.

What would you do?