Legal Question in Business Law in New York

credit card fraud

We are a telecommunications company selling long distance services on line. We recntly have a huge amount of credit card chargebacks for services which were already delivered to the customers. The credit card company said that we do not have any other recourse but to go after the customer. However, we have very limited information regarding the customer. We would like to know what course of action we should take, we believe that we should have enough security features from the merchant company and that they should be responsible as well for the resulting fraudulent transaction.


Asked on 7/31/07, 6:28 pm

3 Answers from Attorneys
Nancy Delain Delain Law Office, PLLC

Re: credit card fraud

If the consumer is the victim of identity theft, which may be the case, that consumer is NOT responsible for fraudulent charges. The chargebacks will become a matter for you and the credit card issuing company to settle between you.

If the consumer is NOT the victim of identity theft, which may also be the case, the consumer is the responsible party.

My law partner handles consumer fraud and identity theft matters; if you are in New York, please feel free to give us a call.

THE INFORMATION PRESENTED HERE IS GENERAL IN NATURE AND IS NOT INTENDED, NOR SHOULD IT BE CONSTRUED, AS LEGAL ADVICE. THIS POSTING DOES NOT CREATE ANY ATTORNEY-CLIENT RELATIONSHIP BETWEEN US. FOR SPECIFIC ADVICE ABOUT YOUR PARTICULAR SITUATION, CONSULT YOUR ATTORNEY.

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Answered on 7/31/07, 9:02 pm
William Pinzler william M. Pinzler

Re: credit card fraud

Your inquiry begins with your contract with the credit card company. You, hopefully in consultation with your lawyer, should review the contract and see what options you really have. If you have to chase the customer, the credit card company may be able to assist you in giving you sufficient information to pursue the customer.

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Answered on 8/01/07, 9:12 am
John Friedman Law Office of John K. Friedman

Re: credit card fraud

My office specializes in representing telecoms companies -- facilities-based and resellers. Your problem is not unique and we've dealt with this issue a number of times. If you'd like to discuss how we can help you in this matter, please feel free to call at 212.366.1324.

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Answered on 8/01/07, 11:14 am


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