Paso Robles, CA asked in Contracts for California

Q: Can I sue a company for unapprovingly refunding my vacation rental guests their money back without them issuing a refund

I advertise my airbnb vacation homes on a platform called lodgify. I am now seeing on my bank statements money being take out of my account. When I dive deeper, Lodgify is refunding my past guests their full payments, without my approval. The guests never even asked for a refund.

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1 Lawyer Answer
James L. Arrasmith
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Answered
  • Sacramento, CA
  • Licensed in California

A: Yes, you may have grounds for a lawsuit against Lodgify if they are issuing unauthorized refunds to your guests without your approval, especially if the guests did not request these refunds. This action could potentially be considered a breach of contract, depending on the terms of your agreement with Lodgify.

Before pursuing legal action, consider the following steps:

1. Review your contract with Lodgify to determine if their actions are in violation of your agreement.

2. Gather evidence of the unauthorized refunds, such as bank statements and any communication with the guests.

3. Reach out to Lodgify to express your concerns and request an explanation for their actions. Attempt to resolve the issue directly with the company.

4. If Lodgify is unwilling to resolve the issue or provide a satisfactory explanation, consult with a lawyer specializing in contract law or business litigation to assess your case and discuss your legal options.

5. Your lawyer can help you decide whether to proceed with a lawsuit, which may be filed in civil court for breach of contract, and can assist you in seeking damages for the financial losses incurred due to the unauthorized refunds.

Remember that litigation can be time-consuming and costly, so it is essential to weigh the potential benefits against the expenses and effort involved in pursuing legal action.

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