Practically speaking, they charged for a service with given parameters -- So-and-so will perform the reading personally -- and did not appropriately deliver on the purchased service.

This is not a case where someone is being discriminated against unlawfully because they consider Psychic Reading to be their religion, which is what laws would traditionally protect against.

Maybe the defendant could try to say that the victims (for lack of a less leading word) were just practicing the religion and, if they agreed, maybe that's actually what happened. That doesn't appear to be what happened.

If you pay your religion for a religious service, and they fail to do it, you should sue. If you book a wedding at a church, they can't just call off the wedding and not give your money back.

If your church turns out not to even be a church, but a copywriting scam, and you donated to it, you should sue.