Legal Question in Business Law in California

Re: collection issue

Your strategic choices may depend upon the amount of the invoice, the proportion which you challenge, your feelings about negative credit history, and your desire or need to do business with this vendor in the future. It would also be useful to know whether your purchase was based on an oral or written contract and whether the contract contains any dispute-resolution terms such as an attorney fee clause, mediation and/or arbitration clauses, or the like.

Also, it might be helpful to know the basis for the dispute - was it a clerical error in preparation of the bill, failure to credit you for a deposit or down-payment, your demand for a price reduction due to defective goods, or what?

Finally, it would perhaps be useful to know whether you are a merchant such as a dealer or expert in the kind of goods involved.

Legal recourse usually means lawsuit in a contract dispute. The question then becomes small claims, superior court, or arbitration? And, is it worth it?