Looking for advice on a legal issue. Here's what happened.
Shopify froze my payments. I've been dealing with this for about 7 weeks now and the situation isn't improving.
The amount being held/disputed is approximately $3,683. I have tried contacting their legal department 10 times with no resolution.
Am I overthinking this or is this a real legal issue worth pursuing?
Been there. Here's what I learned.
What worked for me was filing with the appropriate government agency. It took 4-8 months but was worth it.
I practice in this area. Here's my take on the legal issues.
Based on what you've described, you likely have a viable claim under Regulation E. The standard is whether a reasonable person would find the conduct an unauthorized electronic fund transfer.
The practical consideration here is cost vs. potential recovery. For disputes under $10K, small claims court is often the best route.
I work in this industry and unfortunately this is very common. The good news is that when people actually push back with legal representation, companies usually settle.
You could try handling it yourself but honestly a lawyer speeds things up 10x.
Three things I wish I knew before my dispute: (1) Save copies of all communications in multiple places, (2) Send important correspondence via certified mail with return receipt, (3) Keep a detailed timeline of events. These three things won my case.
Has anyone tried the AAA arbitration route? Stripe has to pay the filing fee for consumer claims and in my experience, once you actually file, they settle fast to avoid the arbitration costs.