Legal Question in Business Law in New Jersey

Funds due me from a vendor

I placed an order for a product from a vendor who could not deliver the item I requested in a timely fashion. I cancelled the item through an e mail to them. They charged my credit card for the item 3 weeks before they shipped it to me, and 4 weeks after I cancelled the order.

I didn't accept the item from the post office, they returned it to the vendor. The vendor sent it back to me again, I declined it.

I asked the vendor for a refund of the item, they charged me $106 for shipping.

My credit card company said they couldn't help me because their rules say a vendor is allowed to charge a restocking fee of a returned item.

I have all my e-mails I sent to them regarding the ordering and questions about why it was taking so long.

I looked into small claims court and see I have to go to New Jersey from Alaska.

I contacted the Better Business Bureau in NJ. They contacted the vendore with 2 letters and did not receive a response from the vendor.

What can I do now? If I thought I could win a court case I would file here in alaska, or should I file in NJ and do it over the phone with a lawyer there?

thanks for any suggestions you have for me.


Asked on 11/19/01, 3:18 pm

2 Answers from Attorneys

Adam Shapiro Danziger & Shapiro, LLP

Re: Funds due me from a vendor

From what you describe in your email, your case appears to be governed by the Uniform Commercial Code. This is a law, adopted in similar form by most states governing transactions between businesses. Whether or not you successfully "rescinded" your purchase and therefore are entitled to a full refund depends upon a few facts you haven't provided. If you would like to call me, I would be happy to review this with you.

Your second question has to do with jurisdiction. I am assuming from your question that you are based in Alaska and the defendant is in NJ. There are a few factors to consider in selecting jurisdiction, but often time the biggest question is where can you execute on a judgment in your favor. If the defendant and all of its assets are in NJ, I would most likely recommend suing them in NJ. Of course, you should speak to an attorney about the specifics of your case prior to making a decision.

I would be glad to help you in this matter if you decide to pursue it further. Please call me at (215) 545-4830 at your convenience.

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Answered on 11/19/01, 6:41 pm
Glen Chulsky Law Office of Glen H. Chulsky

Re: Funds due me from a vendor

I need some more info from you to determine whether you have any recourse. You may be protected by the FTC's mail order rule which requires mail-order merchants to:

-- ship orders within the time promised in advertisements

for the goods or in catalog listings or, if no time is

specified, within 30 days of receiving a "properly

completed" order;

-- for orders that cannot be shipped on time, notify the

consumers of the new shipping dates and give them the option

of cancelling for full refunds (for consumers who do not

respond, sellers can presume they have agreed to a delay of

up to 30 days);

-- if a consumer cancels, make a full refund within seven

days for cash, check or money-order sales, and within one

billing cycle for charged sales;

-- for orders where revised shipping dates cannot be met,

send consumers second notices and, unless the consumers

expressly consent to the second delay, cancel their orders

(thus, for second delay notifications, the presumption

applicable to the first notification -- that consumers still

want the merchandise -- is reversed).

In addition, you may be protected by the New Jersey Consumer Fraud Statute. If it applies, you may be entitled to triple your damages and have the vender pay your attorney fees. You can reach me by e-mail or by phone at 908-213-0600 for a no cost consultation.

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Answered on 11/19/01, 8:20 pm


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