<Sigh> what a drama. The LBS has really stuffed up this time. And shame of them for having to rely on the supplier/wholesaler to fix the mess.

Have you said anything to the LBS directly after all of this? I probably would write a polite and factual letter to them outlining why you won't be using them anymore. They may or may not read it or act on it but I think for your own sake you need to finish this former personal relationship with the owner of the LBS