Blue Works Studio Refused to tefund for goods not received. New York City New York

My grandson desperately wanted BlueisBack Shoes. Got me to order them online, we are in Australia. For some reason they were returned to business from Kentucky (?) We are in Australia, we paid for shipping to Australia. Blue Works Studio is refusing to refund because customer return form was not filled out and placed in box with shoes. We never even received goods! Only people who would have touched box are Blue Works Sudio or Concepts and USA postal workers. We have a lengthy email correspondence and at times it seemed they would refund but no! I have now perused their refunds policy, an opaque but basically indefensible denial of responsibility, however, refunds must be given if goods are received. Now contacting all US entities concerned with dubious business practices.