Seller refuses to refund paid amount for installment purchase that was cancelled

[pfish]

I'm in California. I purchased tickets from an online seller via an initial down payment and monthly installments. The sellers terms indicated that if the automatic monthly installments could not be charged to my credit card, I would forfeit the tickets as well as all previous payments. Unfortunately there was an issue with my credit card that prevented payment (number was stolen so I had to request a new card) and the failed payment notifications from the ticket seller were placed in the "Promotions" email category in my Gmail account (which I typically don't check). Obviously my mistake for not updating my credit card info after it was replaced, but does anyone believe I have any recourse to recoup some/all of the funds I previously paid? It seems that it can't be right that a retailer is allowed to both recoup the product/service and hold on to paid money from a consumer.

Thanks for any help!

 

[Zigner]

I'm in California. I purchased tickets from an online seller via an initial down payment and monthly installments. The sellers terms indicated that if the automatic monthly installments could not be charged to my credit card, I would forfeit the tickets as well as all previous payments. Unfortunately there was an issue with my credit card that prevented payment (number was stolen so I had to request a new card) and the failed payment notifications from the ticket seller were placed in the "Promotions" email category in my Gmail account (which I typically don't check). Obviously my mistake for not updating my credit card info after it was replaced, but does anyone believe I have any recourse to recoup some/all of the funds I previously paid? It seems that it can't be right that a retailer is allowed to both recoup the product/service and hold on to paid money from a consumer.

Thanks for any help!

Why wouldn't you be bound by the contract?

 

[pfish]

Why wouldn't you be bound by the contract?

I am in fact bound by the contract. I suppose I'm asking if anyone has expertise to determine if those contractual terms are valid/acceptable in the first place. The terms indicate "If your current payment can not be processed, your order will be cancelled and all previous payments made prior to cancellation will be FORFEITED to offset your default." I would imagine there may be existing civil laws that require a merchant to refund some amount of these funds and/or cap the amount of penalty a merchant can charge to "offset default".

 

[Zigner]

I am in fact bound by the contract. I suppose I'm asking if anyone has expertise to determine if those contractual terms are valid/acceptable in the first place. The terms indicate "If your current payment can not be processed, your order will be cancelled and all previous payments made prior to cancellation will be FORFEITED to offset your default." I would imagine there may be existing civil laws that require a merchant to refund some amount of these funds and/or cap the amount of penalty a merchant can charge to "offset default".

Again, you AGREED to the provision in the contract. The provision is not illegal.

 

[single317dad]

I'm in California. I purchased tickets from an online seller via an initial down payment and monthly installments. The sellers terms indicated that if the automatic monthly installments could not be charged to my credit card, I would forfeit the tickets as well as all previous payments. Unfortunately there was an issue with my credit card that prevented payment (number was stolen so I had to request a new card) and the failed payment notifications from the ticket seller were placed in the "Promotions" email category in my Gmail account (which I typically don't check). Obviously my mistake for not updating my credit card info after it was replaced, but does anyone believe I have any recourse to recoup some/all of the funds I previously paid? It seems that it can't be right that a retailer is allowed to both recoup the product/service and hold on to paid money from a consumer.

Thanks for any help!

See CA Civil Code Sec. 1749, regarding layaway agreements. There's no mention of refunds because the consumer refused or was unable to pay as per the agreement.

http://www.leginfo.ca.gov/cgi-bin/displaycode?section=civ&group=01001-02000&file=1749-1749.4

http://www.leginfo.ca.gov/cgi-bin/displaycode?section=civ&group=01001-02000&file=1749-1749.4

I agree the amount charged for cancellation is excessive. That you had one payment declined is a poor reason for losing all your previous payments. The lesson here is to avoid signing unfair contracts in the future.