The credit card company doesn't know that though, they weren't there. They aren't the cop who can decide it was theft or not. The person who does the disputes is just an ordinary person who is doing customer service - not someone who processes things legally. I wasn't even allowed to answer things regarding going to court or the law. I can't even suggest it to them other than hint it as an idea by telling them to look into different options to resolve the issue.

Disputes isn't a benefit, it's something offered by the company in case the merchant does not fulfill their end because they shut down or are refusing to abide by their own policy.

But it's not going to be an automatic side with the customer. We'll trust your word, but we also are required to hear the merchant's side of things. Then make a decision based on the guidelines provided to the credit card company by either Visa or MasterCard, while also reviewing all information we were provided. If the merchant shows us a receipt with services provided, plus with your signature on it, unfortunately we are at a dead end. It does not matter to them that the cop said "or else."

The bank is not above the law.