Welcome to WebmasterWorld Guest from 184.108.40.206
notice they had the 'thin content' penalty on them already
As removing the 'thin content' penalty once it's implemented seems virtually impossible.
I completely re-did both domains with fresh new content, available nowhere else, and not re-spun or anything. With at-least 10 fresh new pages, new navigation , fresh content weekly and all. And they were still both denied.
Surprised by the overall un-knowledge of White Labels. They've been around for years, just google it.
Not sure why you'd think a white label site would get any traction in 2014, regardless of whether or not it had changed hands.
Seems like lately Google has a war on white labels.
Essentially, buying a penalized domain would put you in a hole, requiring that you build your way out, but the exact answer depends on the particular history of the domain and the type of penalties it has. I recommend watching the video a few times. Matt fuzzes the answer enough to keep the "secret sauce" secret, but I think he provides pretty good guidelines regarding cautions you need to take.