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any thoughts on the bubbling paint? shall I leave it be or does it need sanding..
Oxidisation underneath the paint. Leave it alone, it's fine.
A framebuilder like @coldharbour or @Mikenetic might be able to give you some insight on your gouges thing - I might be wrong, but I don't think that area is under much stress and the worst of it seems to be on the weld, so it might be OK long term.
But as above, if this was impossible to see in the sale photos and not mentioned on the description then it might be worth just returning it.
Howard
The tubes aren't bent, they all look fine, not sure what caused it.
any thoughts on the bubbling paint? shall I leave it be or does it need sanding..