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paid in full?

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phale

Guest
What is the name of your state? Our company: Louisiana Sold to: Missouri
We are a wholesale distrubutor who sold equipment to a customer in Missouri. They had problems and delays on the job and their customer deducted money from what they owed them. Now our customer wants to withhold money from what they owe us. Our terms to them are Net 30. They issued us a written PO for the equipment. There were no conditions, or start and end times on their PO. My question is: They have issued us a check for one third of what they owe us along with a letter stating that acceptance of this payment releases all claims against them and considers it payment in full. There was no signature request and the check was not conditionally signed stating payment in full or final payment. Should we deposit the check and go after them for the balance or would a court view depostiting the check as actually accepting it as payment in full since they stated that in the letter , even though we did not sign anything?
 
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Dandy Don

Senior Member
Deposit the check and go after them. What they are doing is the oldest trick in the book and the judge will obviously see that they are trying to defraud you. Have you learned your lesson that a verbal purchase order is worth nothing and THAT YOU MUST HAVE SOME TYPE OF AGREEMENT/CONTRACT IN WRITING next time??
 
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phale

Guest
After further research, I found their written PO, but many of our customer do give us only verbal POs and we will need to rethink that. Thanks for the advice. I've edited the question to reflect the written PO.
 

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