Legal Question in Business Law in Arizona

I recently had a merchant account with First Data, I had the account for 3 months until i recieved a chargeback because a customer could not find the product i shipped him. after sending First Data the Proof of delivery from UPS the customer found the package and accepted the charges. However since I was a new merchant first data still terminated my account and added me to the TMF and now I cant get an account anywhere. They have ruined my name and business. is there anything i can do to get my name of the list. it was not my fault the customer lost the package.


Asked on 5/07/10, 11:15 am

1 Answer from Attorneys
Donald Scher Donald T. Scher & Associates, P.C.

Yes, you can bring legal action for defamation of your credit and business reputation, however, that involves a great deal of expense. You should be able to be reinstated as a merchant with First Data or taken off the black list by contacting the company and getting them to acknowledge the true facts and that their action was unwarranted and wrongful. I am curious to know if you did something to cause them to take the action that they did. It seems to be an extreme response to a chargeback that was favorably resolved. You would be well advised to get legal counsel and have someone represent you and deal with First Data on your behalf, and hopefully resolve the problem without legal action or further damage to your business.

Read more
Answered on 5/12/10, 4:59 pm


Related Questions & Answers

More Business Law questions and answers in Arizona