FYI: is "no refund" enforceable?

Customer signed up for annual plan ($2,400/year). Used the product actively for 3 months. Then filed a chargeback claiming the charge was "unauthorized."

Our terms clearly say "annual subscriptions are non-refundable." We have their email confirmation, login history, actual usage data. Stripe still ruled in their favor.

What's the point of having a no-refund policy if customers can just chargeback anyway?

Check your Terms of Service. Most SaaS agreements include a choice of venue clause — "all disputes shall be resolved in [your state]." If your ToS says Texas, you can sue in Texas. They'd have to travel or default.

If you don't have a venue clause, add one. You want home court advantage.

UPDATE: Sent the customer a demand letter citing our Terms of Service and attaching their usage data. Gave them 14 days to pay. They responded within 2 days — offered to settle for $1,200. I accepted because $1,200 now beats maybe $2,400 never.

Also adding the pre-renewal email notification to our billing flow. Good suggestions all around.