Legal Question in Business Law in California
Legal Refund Policy
A former fitness client of mine paid
several hundred dollars for a 6 week
group fitness program that she never
attended. The contract that she
signed has a 3 day refund policy.
Several weeks later she asked for a
refund. I emailed her and offered
her several other solutions, but
ultimately I offered her a refund.
This offer was made via email. It is
now 6 months later and I have not
had the funds to refund her. She is
threatening legal action in small
claims court. Does she have a case?
I still have the contract with her
signature.
1 Answer from Attorneys
Re: Legal Refund Policy
Irrespective of policy, I'd say your written (e-mail is a writing) refund offer would govern, and the former client has a pretty good case.
An accepted offer to settle a contract dispute is usually enforceable as a new contract. There is an exception when the old contract is fully performed by both sides except for the payment of a sum of money, but your situation does not seem to fall within that exception.
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