Data Hosting Provider Owed $13,000 for a Canceled Server

Maxheathers

I wanted to share an ongoing issue our company is facing with QuadraNet, a data hosting provider that is now under new ownership by Edge Centres. We were wrongly billed around $13,000 for a server we canceled years ago, and it has turned into a frustrating ordeal. (Interestingly, a TrustPilot review from 2023 mentions someone facing the same issue of being charged for months without notice after canceling a server.)

Our accountant discovered the error during a routine check, noticing we were still being charged for this server long after the cancellation. When we reached out to the provider, it initially seemed promising. Michael Lowe, the Chief Revenue Officer at QuadraNet, admitted the mistake, explaining that a PayPal subscription wasn’t canceled when we terminated the server. He proposed a repayment plan. However, this wasn’t just an isolated incident—other customers had faced the same issue before. Despite this, the company let it continue, costing us $13,000.

What’s more concerning is that the PayPal payment authorization was used to continue billing us long after the server was canceled, which goes against legal standards.

Unfortunately, despite Lowe’s promise to resolve the situation, we’ve made no progress. Our follow-up attempts have been ignored, and our remaining two servers were shut down without notice, causing further financial damage. Since we’re based in Europe, pursuing legal action is complex and costly.

After Edge Centres acquired the company under CEO Jonathan Eaves, we hoped the issue would be addressed quickly under new leadership. However, nothing has changed. QuadraNet’s CEO, Tim Caulfield, under whose leadership these overcharges occurred, hasn’t resolved the matter. We have received a partial refund through PayPal, but they still owe us over $10,000.

Screenshots of multiple refunds issued through PayPal

It’s been incredibly disappointing, not just because of the money but because of the lack of transparency and accountability. If anyone has advice on how to get this resolved, I’d appreciate hearing it.

JDMurray

What does your company's legal council say about this?

Maxheathers

Our legal team is saying we could take him to court and win, but it would take 5 years and half a million dollars; such companies know how expensive legal proceedings are, which is why they allow themselves to act like this

JDMurray

It seems that you need to keep that PayPal account active in the hopes of receiving future reimbursement payments, otherwise you could just cancel it and eat the loss as the cost of doing business. More diligent accounting practices on your end, and an easy-disconnect method of payment, is the best way to catch and mitigate this sort of loss in the future.

Also, it's difficult to "warn the Internet" about a dishonest service provider without becoming legally libelous yourself.