burnin is 100% legal! He could deliver your assembled boards (excl. avalon chips) and thats it. He even do not have to refund the costs for assembling of the avalon chips if he already paid for an assembling slot or bought machines for e.g. Everything he refunds is because he is a nice guy. Think about that!
You have bailed out a while ago by selling your chips! You have ordered but unpaid for burnin service! I'am not arguing your statemant, but think you are hypocrit. My opinion, nothing else.
Not to take anyone's side, but anyone could also wait and pay to burnin when chips come. It was expected for chips to have unknown day of arrival and having that in mind anyone could guess it is unwise to pay assembly in advance. Burnin himself offered delayed payment with wire transfer but many had to pay immediately and not think about it for minute or two. Of course one could guess that money will be used to buy parts and be ready for chips, and you shouldn't expect less from a german guy.
I believe burnin isn't giving away his assembly effort nor his margin and I also believe he shouldn't. He is doing business and he is good at what he does, and if some of us made mistake by paying upfront, burnin shouldn't pay for it nor feel obligated to compensate for anyone's lack of clear judgement. I posted this not to flame wars, but to state my opinion.
An hypocrite for being reasonable!? I don't think so.