I'm posting these images for the eBay / half.com employee that is handling my claim. I purchased the She's All That DVD on half.com, expecting to receive a legitimate, legal disc. Instead I received a copied DVD that was placed in a plain envelope with no padding. As you can see in the pictures, the disc slid around quite a bit and was rendered unplayable halfway into the movie. He also only used a $0.44 stamp, instead of the $2.39 he received from half.com I contacted the seller, but he claimed that he had no knowledge it was illegal. However, if you look at his feedback, he has multiple customers reporting they received illegal copies of dvds, too.

half.com makes this statement at the bottom of their Buyer Protection Policy. I hope they stand by it.

Fraud will never pay at Half.com
Attempts to abuse the Half.com Buyer Protection Policy will be investigated very seriously. Half.com reserves the right to suspend the membership of any Buyer or Seller we feel has attempted to commit fraud by misusing this policy for his or her own personal gain. Half.com also reserves the right to reduce your Seller's account balance, withdrawal from a Seller's Direct Deposit account or charge the Seller's credit card in order to recover damages related to fraud. In addition, abuse of this policy is a criminal offense and violators will be prosecuted to the fullest extent of the law. http://pages.half.ebay.com/help/policy/guarantee_p.html#toc-07

Here are pictures of what I received. (I haven't posted the user's name here, but will do it if he continues to be uncooperative.)