I can't believe this thread is still going. Based no all of the information given, I don't see how you can blame this on UPS. If the package was really routed to Texas, there should have been some scan history showing that. While they're not perfect, UPS is one of the best run operations in the history of the world. The operational expertise it takes to move millions of packages all over the world, on-time, 99.9% of the time, is almost unfathomable.
Is it possible that UPS committed two seperate screw ups on the same package (sent it to Texas AND lost the scan history)? I guess it's possible, but based on the information given, and some of the other anecdotes posted in this thread, I would say that it's a thousand times more likely that Zaino simply didn't ship the package on time. So without any additional evidence, that's the conclusion that I've come to.
Now, is that a HUGE deal? Not really. Do companies make shipping screw ups every single day? Yup. Is it a common, easily fixable problem? Sure.
The right thing to do would have been to admit the mistake, apologize, refund the shipping charge, and then re-ship new product via overnight delivery to satisfy the customer. Then worry about getting the first package back from UPS. Instead, it seems, Zaino did NOT admit fault, and they only did the minimum required to correct the situation (refund shipping charges). Furthermore, they passed the blame onto UPS without any supporting evidence. That's just not cool, and it IS appalling.
Screw ups happen. It's part of life and business. Anybody can have great customer service when things go perfectly. It's when things go awry that the TRULY great customer service shows itself. In my opinion, denying responsibility, shifting blame, and only doing the minimum corrective effort does NOT constitute great customer service.