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please advise on merchant dispute - getting harrassed

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johnnyc1978

Junior Member
What is the name of your state? NJ

Im in the middle of dispute with a merchant named Spacegold. They are a currency exchange service that charged my american express and were in return supposed to credit my egold account (its a digital currency). Ive used them once before for a transaction totaling over 2000 and it went without a hitch.

About two weeks ago i initiated another transaction with them for about 5000 in total but they never fullfilled the transaction and credited my egold account. A couple of email exchanges with the owner revealed that they credited someone's elses account. They also relevealed in an email to me that delayed the transaction because of a suspicious international IP address login into my account and had to verify my identity. I never received a phone call or any verification measure except an email to my school address asking if i iniated a transaction. I sent an email canceling the order on the same day that it was filled but it was through the company site and I cant prove it.

I initiated a billing dispute with AMEX about three days ago and its been chargebacked. This is completely a internet transaction and there is no tangible good with proof of delivary, signed signatures or anything for that matter.

This is where Im geting a little freaked out and would like some advice on how i should i proceed.

Spacegold sent me a threatening email this morning stating they had contacted my local police department for fraud and were going to contact my school over this matter. i also had a phone call from a attorney this afternoon who told me that he wanted to settle or he was going to sue me and have papers served to me. I dont really understand how this is going to unravel and what I should I do to prepare my case. I want to be as proactive as possible

1. Should I retain legal counsel and what kind of lawyer should I look for?

2. Shoudl i contact my police department and file a police report myself against Spacegold

2. What are the consequences of all this? Im thinking it would go to small claims court and at most result in a judgement against me that would result in a black mark on my credit report. Im more concerned if its going to have any crimical consequences that i would like to nip in the bud.

3. How can i make the harassment stop or seek puntive action against the merchant for basically threatening me.

Thank you for any guidance.
 
Last edited:


divgradcurl

Senior Member
1. Should I retain legal counsel and what kind of lawyer should I look for?
If you get sued, yes. If the cops come looking for you, yes. If neither has occured, but you are really paranoid, yes. Otherwise, wait until something happens, then find a lawyer.

If the cops show up, and the DA charges you with a criminal defense, hire a criminal defense attorney. If it's just a civil issue, for $5,000, it may end up in small claims court, because legal fees for going to superior court would be higher than the $5,000 in question. In small claims court, you don't need a lawyer, you represent yourself.

Where is this other company (Spacegold) located?

2. Shoudl i contact my police department and file a police report myself against Spacegold
Why? What have they done illegal? They don't have any of your money, right?

2. What are the consequences of all this? Im thinking it would go to small claims court and at most result in a judgement against me that would result in a black mark on my credit report. Im more concerned if its going to have any crimical consequences that i would like to nip in the bud.
They can file a fraud complaint or whatever, but only the DA can decide whether or not to actually charge you with a criminal offense. Until the DA calls, forget about it.

3. How can i make the harassment stop or seek puntive action against the merchant for basically threatening me.
You really can't. You could try and get a restraining order against the merchant, talk with a local attorney if you want to go that path, it might end up being cheaper just to pay them.
 

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