Of course! They’re 100% liable civilly for their lousy work. And lousy is being kind.
And I wish a criminal case could be made against PSA as it would better explain some of their head-scratching incompetence. But that would require evidence that they purposely allowed altered cards to be graded, ie someone getting paid off to do so. There hasn’t even been smoke yet suggesting such evidence exists. But who knows for certain.
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