Glasser Images must pay nearly $1 million in damages to PayJunction, a card payment processing system used by the business, a federal judge has ruled.

In a lawsuit filed Nov. 12, 2021, PayJunction claimed Glasser Images incurred over $720,000 in “unresolved chargeback liability.” Glasser Images didn’t dispute those claims in a timely manner, causing PayJunction’s liability to balloon from $720,000 to $900,000 since filing the initial complaint, according to a court order filed earlier this month granting the default judgment against Glasser.

A chargeback refers to a payment that is returned to a debit or credit card after, for instance, a customer disputes the transaction.

PayJunction listed the sudden closure of Glasser Images and the company’s unwillingness or inability to “perform its obligations” as other reasons for filing the suit.

The total amount owed to PayJunction is $977,241.14, Judge Clay Land ruled.

Owner Jack Glasser, on behalf of Glasser Images, originally entered the agreement with PayJunction for services on Dec. 4, 2017.

Glasser Images suddenly closed in October 2021, leaving 150 employees and subcontractors and many customers in the dark.

At the time, bride-to-be Tia Dolechek said she was notified of the closure over email. She and her fiancé had already paid over $5,000 for photos from Glasser Images.

In November 2021, a judge ordered Glasser Images to preserve its websites while the North Dakota Attorney General’s Office investigates the closure.

The business was also facing possible eviction from its downtown location for owing $25,000 in rent and late fees.

Glasser said the studio couldn’t remain financially viable, due in large part to the coronavirus pandemic. The photo studio announced it would be unable to refund clients when it closed.

A check into public records shows Glasser Images accepted more than $500,000 in federal Paycheck Protection Program loans since the COVID-19 pandemic began and that the company booked business in North Dakota, South Dakota, Minnesota and Colorado.