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Why was a given a defect on an item I shipped on time?

I was given a defect due to issues with USPS because I had shipped it out the next business day after it was paid as is my policy  

I just noticed this defect in my account and it says it is too late to appeal it  

I don’t feel it should be there in the first place  

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Why was a given a defect on an item I shipped on time?

To qualify for "on time shipping" the tracking needs to show a scan within your handling time or delivery within the delivery estimate.   If  you didn't get an acceptance scan when you tendered the package you are at the mercy of the carrier to get either some kind of scan before the handling time runs out or timely delivery.  Your screenshots do not show the details with the various tracking timestamps.

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