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contract on back of check??

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I

I_am_clueless

Guest
What is the name of your state?What is the name of your state? Ca

I hope this is the right place to post this.

My friend and I own a business, we sell antiques and offer payment plans for some pieces. Here is what happened the customer came in and purchased a bed, dresser, desk, chair on payments made 2 payments on the 3rd payment sent the check in the check was cashed ect.. the next month we called the customer to ask if the payment was sent it was 2 weeks over due the customer said you cashed my last check right? I said yes we did the customer said then I don't owe you anything more, got in to a conversation as to why, the customer sent me a copy of the cashed check on the top of the back where you sign/stamp it had in what I beleave is Times New Roman font maybe 5-7pt.

By cashing this check "company name" agrees that said bill is paid in full.

of course I took out my company name where "company name" is.

besides By cashing this check "company name" agrees that said bill is paid in full. the check was made out likea regular check in the memo area it says
"account number 45956848969" (example of an acct number)

does the costomer not owe us any more money?
Is this a real contract?
 


Dandy Don

Senior Member
What planet does this customer live on? Of course the money is still due.

Send him a letter stating that the money is still due and payable, and that his notations on the check do not conform to any aspect of your state's business law. Warn him that if he doesn't pay up you will see him in small claims court. He obviously is a deadbeat/cheapskate who probably will make no more attempts to pay, so a phone call won't accomplish much.

A contract is a document that must be agreed to and signed by both parties, and you certainly did NOT agree to this shabby procedure. Don't let him get away with this trickery.

DANDY DON IN OKLAHOMA ([email protected])
 

mrtoledo

Member
Dandy Don said:
What planet does this customer live on? Of course the money is still due.

Send him a letter stating that the money is still due and payable, and that his notations on the check do not conform to any aspect of your state's business law. Warn him that if he doesn't pay up you will see him in small claims court. He obviously is a deadbeat/cheapskate who probably will make no more attempts to pay, so a phone call won't accomplish much.

A contract is a document that must be agreed to and signed by both parties, and you certainly did NOT agree to this shabby procedure. Don't let him get away with this trickery.

DANDY DON IN OKLAHOMA ([email protected])
So how is this any different than they $10.00 checks that AT&T send you and in the fine print on the back you agree by cashing this check you will swtich to their service?
 

BelizeBreeze

Senior Member
You have been given the correct answer. To recover any further funds owed you need to take the customer to small claims court.
 

I AM ALWAYS LIABLE

Senior Member
I_am_clueless said:
anyone else?


My response:

A creditor who cashes such a check without striking or otherwise deleting the "payment in full" language may still pursue the debtor for the balance due if the creditor accepted the check inadvertently or without knowledge of the notation. [Ca Civil § 1526(a)]

However, a creditor is conclusively presumed to have knowledge of a "payment in full" notation if it receives not less than 15 nor more than 90 days' written notice by first class mail from the debtor that the check will be tendered and that it constitutes an accord and satisfaction (below). [See Ca Civil § 1526(b)(2) & (d)]

An "accord and satisfaction" is the substitution of a new agreement for and in satisfaction of a preexisting agreement between the same parties. The usual purpose is to settle a claim at a lesser amount. [See Ca Civil §§ 1521, 1523]

Accepting a "payment in full" check may result in an accord and satisfaction, depending on the parties' intentions, as determined from the circumstances surrounding the transaction (including the parties' conduct and statements), and notations on the instrument itself. [Marriage of Thompson (1996) 41 Cal.App.4th 1049, 1058-1059, 48 Cal.Rptr.2d 882, 887]

Read the aforementioned statutes and case. Then, go after that ass-hole with all guns blasting!

IAAL
 

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