Consumer loses in credit card compensation suit


Wed, Nov 01, 2000 - Page 2

A man who sued the bank that issued his credit card for charging him bills he claimed he was not responsible for lost his case in the Taipei District Court yesterday, when the court ruled in the bank's favor.

Taichung resident Liu Hsi-Kuo (劉喜闊) filed a suit against the E. Sun Bank (玉山銀行) to request the return of over NT$300,000 which, he claimed, was spent by someone who had stolen his credit card.

According to the court, Liu applied to the bank for a credit card in September 1994 and notified the bank of the loss of the card three months later. The bank alleged that three days after it was notified it issued a new card to him.

It was not until 1996, however, almost two years after the first notification, that Liu notified the bank that he did not receive the new card and asked the bank to return the NT$300,000 it had deducted from his savings account at the bank.

The bank refused Liu's request and asked why he had not complained about the credit card bills before, which include an annual fee of NT$900 in 1995 and some NT$300,000 spent in department stores in Taipei City between July and September 1996.

Liu contended he did not pay attention to the bank's charges to his bank account because there were often transfers of money -- mostly of large amounts in the high millions -- in and out of the account.

He won his case against the bank in two previous trials in February and October of 1998. The bank, however, was granted a retrial and got a favorable ruling from the Taipei District Court in mid-October.

The court dismissed Liu's suit against the bank on the grounds that it was his absent-mindedness that was responsible for the losses in question.

The court said the issuing institution as well as the user both shouldered the risk of using a credit card. In this case, it noted, Liu apparently failed to take due care on his part.