They gave you your money back, I don't see how you can be upset. If you wanted it that badly you could have paid full price
so looking at the ENTIRE story...you dont have the capacity to even see how he might be a little upset? take legality and ethics completely out of it....you are saying you would walk away from this exact same situation and not be upset at all that you made a verbal contract to buy something for a certain amount...you pay a deposit to what? HOLD THE FRIGGIN BIKE and then they lie about your deposit and sell it to another person to make a few hundered more...really?