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Consumer Bankruptcy : Chapter 7, Chapter 13, Protection From Claims of Creditors
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  #1  
Old 11-06-2000, 11:53 PM
cantra
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I signed up to a webhosting company from out of state a few months ago. Not only was the service absolutely horrible but the company tried charging me over $7,500 for a service that was supposed to be $200 for a full year. I was only able to use the service for about 1 1/2 months because I had to cancel my credit card and cancel service so the company would stop charging my account.

The company refused to give me proof, or even a good explanation as to why they charged me so much. They kept promising to refund me for one over charge, I kept asking every week when I'd be reimbursed until finally they responded with I was to be charged an additional $1,000.00 and they never even mentioned the money they owed me yet. This was only about 45 minutes after I had e-mailed them about reimbursing me for my first overage.

To make a long story short they then charged my card again 'forgot exact amount' and tried to charge me two more times of $5,000 and $1,000 with no explanation. They refused to give me proof or anything and simply stated they would do as their attorney said.

Well I called everyone I could, the BBB told me they had several complaints of the company, the local police department also stated this, I even was in contact with the FBI and the state attorneys office over this matter, all stating that they have had quite a few complaints.

I submitted all my info, stats, original contract, etc to my credit card company, winning the dispute very easily and getting my money back. The local police deparment didn't charge the owner of the company because they submitted stats reports that were completely different than my sites actual ones, 'pretty much they didn't know who to believe I think'

Well I thought all was well until last week I recieved a letter from the companies attorney threatening to sue me for $1,000.00 He also stated unless I contact them in 30 days I basically admit that I don't dispute the money.

Do you think I should simply write the attorney and tell them that yes I dispute the charges? If this was an in state problem I'd have no problem going to court and simply winning with my hard proof that I was taken by this company. However being that the company is out of state I realy don't have the time to show up in court and am fearful that if I contact the attorney they might simply use it as a way to serve me or something.

Also if you think I should contact them do I realy need to do this legally, don't they know that I dispute the amount since I've already done so on my credit card company?

Thanks,

Also the company is in Minnesota, according to the contract I must follow all laws of Minnesota, however it is quite clear that the company themselves broke the contract on several occasions so would this still be the case? "meaning that the contract called for Minnesota law to rule, but if the contract was broken by the company shouldn't this be something that could get me out of the companies grasp?
  #2  
Old 11-10-2000, 09:25 PM
lawrat
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I am a law school graduate. What I offer is mere information, not to be construed as forming an attorney client relationship.

Do you have your own attorney? Taking these matters to the authorities to protect others is a great thing, but you want YOUR problem solved.

Seek an attorney ASAP to get this resolved. What they did was fraudulent and even if the contract was valid, they BREACHED it. So....your lawyer can take THEM to court or countersue them.


Trust me when I tell you a smart judge, using all the evidence you have, backed up by subpoened information from the bbb, state and fbi, will rule in your favor.
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