Buyer Kept $3,300 Device Via Bank Chargeback After Transferring Ownership Registration. What Are My Options?
Location: Virginia
Locations: Seller in Virginia (Fairfax County), Buyer in Connecticut (Vernon).
Item Value: ~$3,300
Buyer kept $3,300 device via bank chargeback after promising to cancel it. What are my options?
Summary of Facts:
1. Sold a high-value serialized item to a buyer in Connecticut through an online marketplace.
2. The buyer took physical delivery and successfully transferred the manufacturer serial number registration into her own legal name.
3. The buyer opened an external credit card dispute. Throughout our chat logs, she repeatedly promised to cancel/withdraw the chargeback, but never did.
4. Yesterday, the bank officially ruled in her favor, resulting in a forced clawback of $3.300$ from my merchant account while she retains the item.
5. When I messaged her giving her a final chance to return the item or refund the funds, she claimed she contacted her bank and that the chargeback was "canceled last month" which is completely false based on the actual bank ledger and date of the funds extraction. She ended the conversation by telling me "good luck with court."
6. I have the complete chat history documenting her broken promises and false claims, delivery tracking, manufacturer registration logs, and an FBI IC3 complaint ID.
Questions for the Community:
1. Since credit card chargebacks resolve the bank/merchant financial relationship, does retaining registered hardware after a forced chargeback constitute civil conversion or theft under small claims rules?
2. As an out-of-state seller in Virginia dealing with a buyer in Connecticut, what is the proper venue or process to pursue small claims recovery for property conversion?
3. What are my practical options at this stage to recover either the item or the funds outside of platform support?
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