Seems like the guy is on the up and up- just a little slow getting his shipping out. I can understand your anxiety, though with your $$ on the line!
This is correct. All this idicates is that a label was printed. If the package entered the ups system with a legible tracking label, it would show an origin scan, which is usually done when the package is picked up by a driver, or when that truck is first unloaded back at the local center. After that it would show a scan every time the package arrives or leaves at different centers and is rehandled. The last scan is done just before we hand it to the recipient, or toss it on your porch.
It is remotely possible that the package got to ups and got severly damaged or lost before the first scan occured. If this happend, without even a first scan, you are kind of out of luck proving we ever had the package. This is why the origin scan shoud occur at the point of pickup. Then it is ups' responsibility when it disappears.