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customer stopped payment on check

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O

owner

Guest
What is the name of your state? Texas
I own a dance studio. Parents sign a registration agreement outlining our payment policies, late fee policy, etc...
I had a mother who paid late in Sept, she was a new student so I let the late payment go. This month they paid late again. Her husband wrote a check for the tuition and late fee. The mother called ranting that we had changed our policies (which we have not). I have a pre-registration agreement as well as her registration contract that states a late fee will be collected after the 5 th day of the month, and that all fees are non-refundable (her daughter has already taken a class this month).
She came into the business, made a scene, and we asked her to leave. She obliged with the comment that she would stop payment on the check.
This morning I contacted the bank, and yes...she has put a stop payment on the check.
Do I have any recourse? Do I file it in small claims court? if so, what do I file it as?
 


H

hexeliebe

Guest
File in small claims court for the amount of the check, the late fee, any banking fees this has cost you and all legal expenses (keep your receipts).

You file for breach of contract
 

JETX

Senior Member
Contact the bank and ask them (if they will tell), did she have sufficient funds to cover the check at the time it was written.

Texas is unusual in that issuing a stop pay on a check COULD be a criminal act.
Texas Penal Code:
§ 31.06. Presumption for Theft by Check
(f) If the actor obtained property by issuing or passing a check or similar sight order for the payment of money, the actor's intent to deprive the owner of the property under Section 31.03 (Theft) is presumed, except in the case of a postdated check or order, if:
(1) the actor ordered the bank or other drawee to stop payment on the check or order;
(2) the bank or drawee refused payment to the holder on presentation of the check or order within 30 days after issue;
(3) the owner gave the actor notice of the refusal of payment and made a demand to the actor for payment or return of the property; and
(4) the actor failed to:
(A) pay the holder within 10 days after receiving the demand for payment; or
(B) return the property to the owner within 10 days after receiving the demand for return of the property."
Source: http://www.capitol.state.tx.us/statutes/pe/pe0003100.html#pe006.31.06
 

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