It sounds like you need your business law attorney to personally review your business operations and help you with necessary revisions. You appear to need limits and restrictions placed on your online sales, refunds, and uses of gift cards. A business cannot financially survive for long with customer abuses of the sort you are experiencing.@adjusterjack throughout this week we have issued the person in question around $6,000 in refunds and have maybe $1,000 to $1,500 more to issue them, then 99.9% of their unfulfilled merchandise/unused gift cards will be refunded. While it hurts financially right now, the absurd discounts and bonuses that he was able to somehow get from us would have costed us more in the long run than the refunds we are issuing him. I didn't want us to give this guy any ammunition to sue us. The final refunds will be sent tomorrow, then we'll be sending him records of every single order he ever placed, transaction records... everything... and giving him some time to look it over and respond in case he happens to find some gift card hidden away in his web of transactions that we forgot to refund. After we give him ample time to respond, we're blocking him and we're done with it.
His pattern of excessive damage complaints with our company and at least 2 of our peers (they told us via e-mail he was pulling the same stuff with them, at least 1 would likely be willing to sign a sworn affidavit confirming), after his repeated transactions with us using one name but paying with another, after his constant demands for "cash" refunds for gift cards he never paid for... we surely have enough to prove criminal wrongdoing on his part. He's malicious and clearly gets some sick joy out of this, but I don't think he's stupid: he probably realizes that we have enough against him to make a counter-claim.
I find it unlikely that he'll just ride off into the sunset after the refund and review processes are complete. He's most likely going to try again and/or throw a fit by filing complaints about us on various 3rd party websites. If he goes too far we might consider legal action against him.
This individual has been an absolute nightmare for our team and has been rude, difficult and suspicious/fraudulent. We expect him to come back a 3rd time and try again, and this time we're prepared by looking daily for any suspicious new accounts, or customers using the same address/similar names, or customers repeating similar patterns as this guy. If he does try again, our hope is that if we keep banning and stopping him quickly that he'll eventually give up. If he doesn't, we have discussed pursuing legal charges against him.
I'm not sure what he could sue us for if we've refunded 99.9% of his unfulfilled merchandise and we've been totally polite and professional the entire time (unlike him), but he's malicious enough where he might try something. We've discussed this case with our small business attorney who gave us great advice and information, and if it comes down to it we are prepared to pursue charges against him which might be the only way to deter him from doing stuff like this to other companies in the future.
If you are out money, you can always sue to recover your costs.