Sorry to hear the bullshit you guys are having to put up with. Your friend that told you that you cannot sue them because they are in Texas might be wrong. If they are soliciting business in California they are subject to lawsuits in California. You might be able to sue them in small claims in CA an if they do not show you will win by default judgment. However collecting on that is another story. This might be a lot of work for a small amount of money. You might be better off sending a letter stating that they have 30 days to return your money or you will file a lawsuit for breach of contract. Also you might want to mention that you will not stop there and will pursue each worker personally for fraud and deception. These would be criminal charges.