I have the unenviable task of informing a client who has discontinued working with us that we aren't going to refund the unused portion of her contract hours - almost $5k. Our contracts very clearly state they are non-refundable and non-transferable. Help with wording for, "You never let us know you were unhappy with service, so we aren't refunding it now..."

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Something along the lines of: I will do everything I can to address your concerns, that being said, it is outside of our policy to provide a refund for you discontinuing your services prematurely. I’ve attached your contract for reference. If we were notified previous to discontinuation, per our policy, we would have been able to provide you with a, b, c.

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Apologies go a long long way. So does empathy. Add an empathetic statement like, "I can see why this upset you, and I would feel the same way in your position. However, I would also take into account what I thought was fair to all concerned and understand I did agree to any terms and conditions. Since you've chosen to discontinue our business relationship, I cannot issue you a refund. If, however, you'd be willing to continue your relationship with us, I could offer XYZ... I understand your frustration and I hope you'll consider giving us another chance. If not, I wish you the best in your future endeavors."

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Is she asking for a refund, or are you just wanting to cover your bases & make sure she knows that you aren't going to issue a refund? I don't envy your situation, but I agree with the above - keeping it matter-of-fact is the best way to go.

You should say something along the lines of "per the ___ clause of the contract, we will not issues a refund"

Keep it short and simple. "As per the agreement made on xy you have accepted the terms of this contract which states that the hours are non-refundable. .... " Drama people usually get hung up on every single sentence you write, so keeping it straightforward helps. As for the happy part, just let them know they can reach out to you if there are any issues with the service you provide.

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