Yeah, it might be a good idea to consult a lawyer. But I personally don't think you have much of case. How are gonna prove that Simon didn't study with a Shaolin monk at some point? Now, as someone mentioned you might have more of case if it was a class action suit.
All I'm saying is that this is going to take a lot of time, money and sweat on your part. Is is worth 4000 dollars, that's the real question? Consulting an attorney is a first step. Unfortunately, in the U.S., if you want a good attorney, that consultation is gonna cost you. You might be able to find an attorney that will take the case on contingency, but they usually only do this if it is a strong case.
Firepalm-
The car analogy is full of holes. A car is a tangible object and there are a lot of laws written about cars. Martial arts training is an intangible thing and very subjective. If you don't believe me look at the history of MA's. It's a nightmare. No one can even define Shaolin for Christ's sake.
Peace
And I hope whatever you choose it works out for the best.