How would you handle this....?

[stuart]

I thought I would run this by everyone and get ideas before I blew my cool and started yelling at the factory....

We paid an invoice to FreeFlow spas for brochures and materials for $97. The check made it to there factory in California and then their mail was stolen by someone there. The check was changed to $476 and another name put on it and then it was cashed...

So here we are with an extra $400 taken out of our account because of lack of security at the factory and FreeFlow is telling us it's our problem, we have to file a report and still pay them the $97 or they will put a hit on our credit report!  

My feeling is that we did everything correct and were in no way at fault but rather they were remiss in protecting the check, they lost it and they should not only cover it but they should take care of the legal issues along with that. I will be happy to pay the invoice when I'm reimbursed for the fraudulent amount!

What do you guys think?

[Chas]

Bummer. I would hand out cheesy photocopy brochures until they resolve the issue.

And I would not send them another check until they tell you they have a locking mailbox. Use a credit card, wire transfer or something like that until they can be trusted.

[stuart]

Bummer. I would hand out cheesy photocopy brochures until they resolve the issue.

And I would not send them another check until they tell you they have a locking mailbox. Use a credit card, wire transfer or something like that until they can be trusted.

I'm not inclined to do business with them until this gets resolved! I not as concerned with the $400 as I am with their attitude with it....!

[newtotubbing]

The least the could do is give you the brochures for free.  Geez.  If it was me I would find another vendor, but then again I'm not in the business so I might not know what I'm talking about!!!

I hate companies like that.  It's only $97, come on give a poor rabbit a break!

Jonathan

[Chas]

I'm not inclined to do business with them until this gets resolved! I not as concerned with the $400 as I am with their attitude with it....!

Well, I dropped FreeFlow over a slightly larger amount, and I haven't regretted it.

[stuart]

Well, I dropped FreeFlow over a slightly larger amount, and I haven't regretted it.

I've got to say that I have found them less than fun to deal with!

[Dr. Spa™ Ret.]

Do they acknowledge that they received the check, but it was stolen before they were able to deposit it into their bank account (you did say it made it to their factory). Was it stolen by an employee, or during a burglery...... or other?

[stuart]

Do they acknowledge that they received the check, but it was stolen before they were able to deposit it into their bank account (you did say it made it to their factory). Was it stolen by an employee, or during a burglery...... or other?

They acknowledged that their mail was stolen, time line wise they had to have it for about a week so I belive it was an employee but they have dropped it back in our lap and are saying they don't know when it came in....

[ndabunka]

First issue is who (what bank) honored the forged check. They are the ones on the hook for the error (If it can be shown). So, you need to get the ACTUAL check back in your hands (not a photo-copy). Second is to discover if there was a police report abou the stolen mail. If there was, then you can use that to support your case but (i.e. match it to the date the check was cashed, etc)... you are still on the hook for the $97 bucks. So... Wire transfer them the $97 (IF you still feel comfortable doing business with a company with obvious lack of security).  I personally would make my concerns of their security practices an issue in ANY future dealings with them. If you want to take it to extremes you can even report them to the BBB and credit reporting agencies BEFORE they do it to you. Afterall, THEY are the ones who blew it and risked your credit rating...

[Tman122]

I like Chucks idea. Make up a cheesy brouchure from there web site and photo copy it. Call the factory and let them know how you are selling there product. Don't send them the 97 bucks and call them and tell them you have warranty issues you don't have, and bill the extra hours to make up for the 97 bucks. Then send it to them.

[shoemaker]

Stealing mail is a Federal offence and the penalties are quite harsh. I would push this to the limit. Let the U S Postal service know and they will do most of the work for you.

Also check on the police report that was filed - if one was filed. If not file one. Get what is yours back !

Then I would dump these people as fast as possible !

Just my 2 cents.

[wmccall]

Business is business, until I read the part about putting a hit on your credit report.  Can you imagine how fast they would do the same thing if the mistake was on your end?

If one of your spas isn't right, will they do the same thing if you withhold payment?

[wetone]

I'm not inclined to do business with them until this gets resolved! I not as concerned with the $400 as I am with their attitude with it....!

I'm with you on this one; it's the principle not the money, I would not do any business with them until all is resolved.
How can they shift the responcibility?
If the mail that was stolen was in their building, it would put it in their possession making them responsible.


This is no differant than if a customer buys something from us and pays cheque, the cheque gets stolen & cashed we would still be legaly obligated to deliver the sold product and seek to recover the funds through business insurance, not from the customer.

[aaahhh]

Stuart,

As far as the $497.00  Place a call to your business insurance agent. Your business policy may have protection for you under forgery and or alteration of that check. This coverage may not carry a deductible.

Have you spoken to the head of customer service for a better solution to your problem. If you have then run as fast as you can from them.

Good Luck

[matthewc]

I am not sure how much help this will be as I live in the UK. But I had a Cheque cashed on my account for an amount that had been altered. I rang my bank and complained and within 24Hrs and with very little fuss they had excepted full responsibility and refunded the money. They explained to me that they always except full responsibility as soon as you sign something to say it was not you. More worrying was that they also told me that they only actually check that the signiture is correct on about 10% of cheques cashed.

So I would suggest that as well as complaining to the company in question that you also comtact your bank and get your money back, as they should not have cashed it in the first place.

Matt