Gorman

I. BACKGROUND

In December 2002, John Gorman paid for the delivery and installation of a new satellite TV system on a Visa credit card 14660 GORMAN v. WOLPOFF & ABRAMSON issued by MBNA America Bank (“MBNA”). The charge, $759.70, was posted on his January 2003 credit card state- ment. According to Gorman, the merchant, Four Peaks Home Entertainment (“Four Peaks”), delivered a used and defective TV system and botched the installation, damaging his house in the process. Gorman told Four Peaks he was refusing deliv- ery of the goods and asked for a refund, but Four Peaks refused to refund the charges unless Gorman arranged to return the TV system. The defective equipment is still in Gor- man’s possession.

In February 2003, Gorman notified MBNA that he was dis- puting the charges and submitted copies of emails between himself and Four Peaks. The attached emails showed that Gorman had informed a Four Peaks representative that the delivered goods were “unacceptable and [were] rejected.” He also noted damage from the installation and notified Four Peaks that he “plan[ned] to dispute the credit card charges in their entirety, as the damage exceeds the amount of the…