International Dispute Recovery for a U.S.-Based Luxury Services Firm

Business: U.S.-based luxury services agency
Issue: Failed high-value service delivery by overseas vendor; denied chargeback by major U.S. bank; legal and credit damage
Jurisdictions: United States and United Arab Emirates (UAE)

In early 2023, the company retained a vendor in the UAE to provide a custom international luxury service for a VIP client. The full cost was paid in advance via a major U.S. bank-issued business credit card, exceeding six figures.

The vendor failed to deliver the contracted service, resulting in serious client impact and reputational risk for the company. The company filed a chargeback through the issuing bank — but the bank denied the request, citing the vendor’s response.

The consequences escalated rapidly:

-   The bank closed the company’s credit account
-   A lawsuit was filed against the company for nonpayment
-   The company’s credit profile and operational credibility were severely harmed
-   Multiple law firms had already failed to resolve the matter

We reviewed merchant agreements and applicable jurisdictions, confirming grounds for legal action in the UAE.

-   Filed suit in Dubai against the vendor for contractual breach and fraud
-   Secured a binding court judgment in under 30 days

-   Used the UAE judgment as leverage
-   Negotiated full reversal of the charge, reinstatement of the account, and cleansing of the company’s credit file

-   Filed a claim in the U.S. for:
-   Breach of customer protection
-   Negligent failure to address fraud
-   Improper denial of dispute rights
-   Resulted in a confidential seven-figure settlement exceeding $1 million

-   Full judgment against the vendor in UAE court
-   Restored banking relationship and credit file for the company
-   Seven-figure settlement from the U.S. bank
-   No further litigation or reputational exposure
-   Client returned to market operations with a stronger foundation and retained RGA as long-term strategic advisors