Application Refund: Please Reply

[bsk]

To Whom It May Concern: We are located in state of Florida

We recently had an occurrence where one of our clients sent a check payable to a reseller who represents various banks to pay an application fee to obtain a merchant account.
We were instructed by this reseller to have the funds for the application fee sent to them,
and to have the check made payable to the same.

The client did as we instructed them to do. The company on the receiving end
received and cashed the check that was payable in their name, but has never delivered the
merchant account they paid for, and has since failed to return phone calls, inquires, or provide any updates regarding it.

Additionally, since applying for the account our client has now sold
their business, and no longer has need of it. Their attorney now claims that in order to recover the funds, that the client should be looking to us (natlcard) for their refund rather than to the party they sent it to.

Although we are sympathetic to this we contend since the check was made payable to the other company, and that we are not employees of that company that they would need to contact them to recover their refund.
Who is right?

Also, does having sold the company having any bearing on recovering the refund.
Any advice or opinion you can offer would be very appreciated. Thanks

 

[TCB4U2B2B]

In My Opinion

Hi: bsk

Application fees are non refundable. Failure to provide goods and or services paid for is fraud and or deceit.

Your correct. They owe your client a refund on any monies sent for products or services. In this case, based upon the information your discribed, their attorney is incorrect.

It may just be some type of ploy, stall or diversionary tactic. Tell them to pay up and go "SUCK an EGG"...