Could he not had asked for his money back?
By the way, I don't think you made us any favor by telling him what you did. Maybe you should work on a more professional approach next time.
For example, if you had told him that you where going to upgrade his membership he would had most likely had appreciated it and told a few of his friends about your site. Now his probable telling his friends that your site sucks and not to get a membership with you.
Being arrogant is definitely not the way to go.
Just my
Regards
NastyJack