Section 75 claim- paid with Amex via Stripe

loveka

I bought a shepherds hut on Amex via Stripe. The hut is very badly made and also doesn't have quite major things that were in the contract with the builder. We withheld ,£5k of the total cost after it was delivered, as some faults were glaringly obvious.

We had it surveyed and were told that ideally the manufacturer should remove it and refund us as it is not even structurally sound. Alternatively it needs a huge amount of work which will cost £14k.

We paid £6k of the total on Amex and so are considering a Section 75 claim as we know the manufacturers  limited company does not have any money in it if we took him to court.

Two things concern us- one is if we were successful who would own the hut? We would use the money to put all the problems right.

Also the card payment was taken via Stripe and we can't seem to find anything to confirm that a Section 75 claim would even be possible!

Thanks for any advice.

born_again

Best bet ask Amex.
My worry is by withholding that 5K they might say you have breeched the contract.
What is the debit showing as on your statement?
What was the cost of the shepherds hut?

loveka

He agreed to us withholding the money, in writing, as it was delivered unfinished. Luckily all in writing on email.

The cost was £17,200. Thanks for your reply.

[Deleted User]

loveka said:

We paid £6k of the total on Amex and so are considering a Section 75 claim as we know the manufacturers  limited company does not have any money in it if we took him to court.

A chargeback would be simpler. The hut would belong to the retailer.

loveka

A chargeback wouldn't work I don't think. He wouldn't have the money.

born_again

loveka said:

A chargeback wouldn't work I don't think. He wouldn't have the money.

Any payout comes from the retailers merchant bank. How they get it back is up to them.
Who is he?
Who is it that you have actually paid for the hut. Manufacture or the builder?
What does the debit on the account Amex show, as that can make a difference.

You paid £6K to Amex, withheld £5K. So are just over £6K short of the price.

loveka

He is the manufacturer/builder of the hut and he is a limited company.

We withheld money because there were visible faults. However, now other faults have come to light which are invisible, eg it is not watertight, there was no hot water boiler the list goes on. It is basically not fit for purpose.

We have already spent £2,700 of what was withheld getting it habitable. It really is a total mess, it is unbelievable really.

On the statement from Amex it says the name of his company only, not Stripe.

jet01

Correct me if I’m wrong but aren’t Stripe a merchant acquirer/payment processor? If so then your contract is not with them and the fact that they processed the payment is not something need worry you. If they are the merchant Stripe will clawback the funds from the merchant account of the company you bought the hut from when the Chargeback is made if you go down that route. 

jonesMUFCforever

One thing for sure - it will not belong to you unless you pay for it. If your claim is successful you will not be allowed to keep it.

born_again

loveka said:

He is the manufacturer/builder of the hut and he is a limited company.

We withheld money because there were visible faults. However, now other faults have come to light which are invisible, eg it is not watertight, there was no hot water boiler the list goes on. It is basically not fit for purpose.

We have already spent £2,700 of what was withheld getting it habitable. It really is a total mess, it is unbelievable really.

On the statement from Amex it says the name of his company only, not Stripe.

Right so you can ignore the "Stripe" issue. It is what is on the statement that counts.
Given they are builder/manufacture, then they should be taking this away and giving you a refund as per your consumer rights. Which begs the question. What have they said they will do to resolve the problem?
Issue will be that a S75 will see Amex contact them to seek a resolution that does not cost them the full amount. 
So as per ZX81. I would lay odds on they do a chargeback on the amount taken from your card and ask that it is returned to retailer.

loveka

I would prefer them to take it away actually.

But the money I would be claiming would be to repair it. I have a quite to repair it, but it is for more than I paid!