Verbal agreement and no-refund policy

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techtraum

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My fiancee and I met with a florist recently to come up with ideas for our wedding (scheduled for summer 2006). We liked her ideas, though we had not finalized any other details and made a verbal agreement to book her. We paid a 50% deposit (with a credit card) over the phone the next day since she said someone else was also interested in the date. She was supposed to send us a contract in the mail that we would then sign to make it official. However, she never sent the contract and we never signed anything. All I have is an email from her breaking down the costs and saying that a 50% deposit would be required to book the date.

Three days after booking her over the phone, we had a change of heart and decided to completely change the venue of the wedding (i.e. completely different country). I called to apologize and ask for a refund. However, the florist stated that she had a no-refund policy. We were never told about a no-refund policy and she stated that no one had ever asked her for a refund before.

We felt that since the booking had just been made (booked on Saturday, changed mind on Tuesday), she would have no problem finding other business for a weekend one year away, especially since the reason we had rushed to book in the first place was that someone else was supposedly trying to book for the same day. Short of the email spelling out the floral arrangements and costs, she hadn't provided any services for us, she did not send the written contract as agreed and as a result we handn't signed anything. Still, after talking to her, I agreed to forfeit a $100 'cancellation' fee and to accept the remaining amount in 4 payments every 2 weeks (not sure why she wanted to do this - I can only assume that she didn't have the full amount to pay immediately). I have an email that confirms this 'refund contract'.

Now, one week after the first payment was supposed to have been made, we still have not received anything. At this point, I am debating having the credit card company reverse the charge. I called the credit card company who said that they could open a dispute and, since we didn't sign anything to approve the charge, that she would not be able to refute the charge reversal, resulting in a full refund to us.

My only fear is that she could turn around and sue us in small claims. If she chose to do so, would she have a case?
 
Just to be clear, after talking, she agreed to refund the money, but after subtracting a $100 cancellation fee and splitting the remaining amount into 4 payments to be made every 2 weeks. I accepted this to avoid further conflict, but have not received a payment yet (7 business days after the first payment was supposed to be made).
 
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