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Sued by customer over $180 laptop: lawsuit scam!

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sdlegal

Member
What is the name of your state (only U.S. law)? CA

I own a computer repair shop. For the first time in my life, I’ve been sued! I would really appreciate it if anyone here would review this case. It’s all new to me:

My customer brought in a laptop for a hardware repair, we quoted him, he approved, replacement part ordered. We then discovered that we couldn't replace the part as the solder points are too small and non-repairable. We informed the customer who then picked up his hard drive and told us we could recycle the old laptop. Customer then sends a letter non-registered threatening to sue for $1,500 to replace the laptop, $250 he paid for another company to transfer the data to a new machine, $89 refund for the up-front diagnosis fee he paid, and $180 court and legal fees. Not aware of his letter but aware of his dissatisfaction, I send an email apologizing for any delay in his original service although we were within the estimate we told him for diagnosis.

The laptop in question is worth $180 at best.

Isn't his $1,500 estimate for a 10 year old laptop considered a form of extortion? He is trying to get us to pay for his new computer with this lawsuit. My first thought is to send him an email and a registered letter addressing the fraudulent aspects of his case and threatening to counter-sue, also citing appropriate California penal codes and the penalties for extortion (what are they?), not to mention clogging up the courts, etc. (I haven’t researched the talking points yet, need someone's help on this). It sounds like we're being scammed!
 


tranquility

Senior Member
No, it is not a form of extortion. It's called negotiations. You don't have a counterclaim. If you're sued, you need to answer.
 

sdlegal

Member
So you suggest not to answer with a counter-suit (my claim would be excessive valuation of his equipment, waste of my time). And it is not extortion. Okay.

What about the customer valuing his equipment at eight times what it's actually worth? Do you suggest I contact the client directly to attempt to resolve this out of court?

Thank you in advance.
 

OHRoadwarrior

Senior Member
You should have determined you could not perform the work before attempting it. You could potentially have paid another shop to do the work. You could have mitigated the situation by transferring the hard drive data yourselves. Ultimately, he could have taken the laptop elsewhere for repair. If the laptop was nonfunctional when he brought it in, you should refund his diag. fee. The rest is on him.
 

sdlegal

Member
You should have determined you could not perform the work before attempting it. You could potentially have paid another shop to do the work. You could have mitigated the situation by transferring the hard drive data yourselves. Ultimately, he could have taken the laptop elsewhere for repair. If the laptop was nonfunctional when he brought it in, you should refund his diag. fee. The rest is on him.
Impossible to determine until we disassembled the device and made the attempt. No shop could have done the work. Customer took his hard drive and asked us to recycle the computer - in his demand letter, he is lying about these facts. Customer did not ask us to transfer the data, and yes, we would have certainly done it if customer had requested. Customer still could have taken it elsewhere, instead he opted out of the whole matter completely and then decided to sue us. Its a scam, but how can we prove all of this?
 

swalsh411

Senior Member
The burden of proof if on him. He is entitled to, at best, the fair market value of the laptop minus the hard drive, certainly not a new one. And that's if he can prove you damaged it. He has his hard drive back, so he has no claim against you in terms of moving or not moving his data. His argument that you destroyed his computer without his permission is weak unless he can show that he tried to get the laptop back from you and you didn't have it anymore.

I wouldn't even bother responding to him. Waste of your time and it would just be telling him things he already knows. Argue in Court if you are sued. I think he knows he has no case and will not follow through.
 

tranquility

Senior Member
So you suggest not to answer with a counter-suit (my claim would be excessive valuation of his equipment, waste of my time). And it is not extortion. Okay.

What about the customer valuing his equipment at eight times what it's actually worth? Do you suggest I contact the client directly to attempt to resolve this out of court?

Thank you in advance.
Excessive valuation and waste of your time are not torts. You don't have a countersuit.

As to contacting him or not depends on all the facts. I think it usually better to talk, but I don't think I would, absent more, be willing to throw any cash at this. Unless you are the one who made the data inaccessible and/or damaged the laptop, I don't see you having any liability here at all.
 

sdlegal

Member
Excessive valuation and waste of your time are not torts. You don't have a countersuit.

As to contacting him or not depends on all the facts. I think it usually better to talk, but I don't think I would, absent more, be willing to throw any cash at this. Unless you are the one who made the data inaccessible and/or damaged the laptop, I don't see you having any liability here at all.
All good points. What I don't want to do is contact the customer and detail why he has no case. Don't want to give him any food for thought. Perhaps its better to just go to court and win the case. But I have to take time off work, which is a huge cost there. Would like to settle this out of court. What do you suggest I do?
 

swalsh411

Senior Member
Offer to refund the disagnostic charge to settle the matter. Do not discuss any of the merits of his case (or lack therefore) or admit fault for anything. If he tries to talk about the case he thinks he has with you, tell him you are only contacting him to offer a refund in exchange for resolving the matter and that if he wants to debate he can do so in court. Don't let him waste your time and drag you into an argument.
 

sdlegal

Member
Offer to refund the disagnostic charge to settle the matter. Do not discuss any of the merits of his case (or lack therefore) or admit fault for anything. If he tries to talk about the case he thinks he has with you, tell him you are only contacting him to offer a refund in exchange for resolving the matter and that if he wants to debate he can do so in court. Don't let him waste your time and drag you into an argument.
Great advice! I will send him a registered letter to that effect.

Should I also offer him the laptop back that he recycled with us, since we still have it? We have every right to keep it, but it has no value to us and it might make him rethink the lawsuit, though I doubt it.

One more question: what evidence do you suggest I bring to show in court, to prove my case to the fullest extent?
 
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sdlegal

Member
Have not responded to the other side yet. Was going to try and settle this so I wouldn't have to waste time in court. But if he took the trouble to sue and pay the fees, I am sure he won't do that.

What is proper court attire, suit and tie? Do I need to label my paperwork with exhibits? If I get a testimonial from my technician, should I get it notarized?
 

sdlegal

Member
Take his junky old laptop also, to illustrate your point.
Should I leave the laptop disassembled to show the area where the repair couldn't be done, or should I take a picture of that and put it back together. Either way, it won't take a charge so it can't be turned on (unless I get a fresh battery and plug it in). In other words, how far do I have to go with this...
 

TigerD

Senior Member
What is proper court attire, suit and tie? Do I need to label my paperwork with exhibits? If I get a testimonial from my technician, should I get it notarized?
Yes, you wear a coat and tie to court. Hair cut and clean shaven too.

1. Are you in small claims court?
a. If so, bring the computer, blown up photo of the damaged area, and your technician.
b. If not, get thee to an attorney pronto.

DC
 

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