check cashing entities

[bwat]

What is the name of your state? I am in Colorado. I had read the forum about check cashing places not being able to go after the company or bank that wrote a check and had stopped payment on it. I was questioninng....if an employer was told that an employee did not recieve their check, and they stop payment, however, the employee did recieve the check hours later in the mail and notified the employer. The employee was not notified of stop payment until after the check cashing place cashed it. Does the check cashing place have grounds to sue the employee for fraud?

[Debt Guy]

Q, I had read the forum about check cashing places not being able to go after the company or bank that wrote a check and had stopped payment on it.

A. I don't think that statement is necessarily accurate. It depends on the circumstances and the laws of the state regarding the rights of a "holder in due course".

Q. I was questioninng....if an employer was told that an employee did not recieve their check, and they stop payment, however, the employee did recieve the check hours later in the mail and notified the employer. The employee was not notified of stop payment until after the check cashing place cashed it. Does the check cashing place have grounds to sue the employee for fraud?

A. Fraud is a criminal matter and only the District Attorney and file fraud charges. The check casher can file a civil complaint for money damages. However, this really sounds like just a gigantic screw-up on the part of both employee and employer. Why not just sort it out amicably? The employer should issue a replacement check which could be delivered to the check casher by the employee. Is there a reason someone needs to be sued?

[bwat]

I do not feel that anyone needs to be sued. I am only asking because the check cashing entity wants to sue my friend for the money on the stopped check. I agree with your statements. Thank you.

[seniorjudge]

Originally Posted by bwat

What is the name of your state? I am in Colorado. I had read the forum about check cashing places not being able to go after the company or bank that wrote a check and had stopped payment on it. I was questioninng....if an employer was told that an employee did not recieve their check, and they stop payment, however, the employee did recieve the check hours later in the mail and notified the employer. The employee was not notified of stop payment until after the check cashing place cashed it. Does the check cashing place have grounds to sue the employee for fraud?

Did you try to cash the second check you got?

[efflandt]

Your friend (or somebody) certainly needs to give the money back to the check cashing place if they have not already, probably along with whatever their standard fee is for a check that bounced.