Mentioned this in one of the other "I pre-ordered" threads - this is my first trade-in process in all the years I've been with AT&T, and Cingular before that (since around 1998). All upgrades before now were just by upgrading the device on our account and putting the old one on a junk shelf. We did sell off 2 of them over the years. One of my old ones (an S9) is now used by my 14 year old son.
I've read the stories too. I also frequent the AT&T support forum, and there are many stories of customers getting shafted in the return process over there as well. AT&T would send the returns back and would be totally different phones than the one the customer originally sent.
Although, technically it isn't AT&T, but Assurant - the insurance company that AT&T uses for all returns, warranty issues and trade-in. Since ALL such returns go back to one facility in Tennessee - that seemed to be the problem. Every small box going there would be known to be a cell phone. You can infer your own possible theft-ring story line here.
At any rate, I've also heard conflicting info on bringing your trade-in into a store location. Even that can be a bit confusing. Some say it has to be a corporate store as opposed to one labeled "An Authorized Retailer". Supposedly, the authorized retailer won't take the trade-ins in store. But then, when I look up all the near-by stores in my area - and there are about 8 just within a 10-minute drive from my house, they all say that they take trade-ins as one of the many "services" they offer. They don't indicate a retailer vs. corporate anywhere in the website listings. But they do have it on the storefronts under the AT&T globe.
There are a couple stores in my town doesn't have that "authorized retailer" qualifier - but only one is a stand-alone building they have on my side of town, and it's been there since it was Cingular before AT&T bought them in 2007.
Seems more "corporate" to me.
I'm going there first.