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Uncashed check over two years old

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ChrisMiller

Junior Member
What is the name of your state (only U.S. law)? NY

I recently found a check of $2000 that's over 2 years old that I misplaced and forgot about. It's from a law firm for a restitution payment due me for investment losses. I contacted the claims administration firm but they told me that the case was closed a year ago and funds are no longer available to reissue the check.

Do I have any recourse ? Is there a statute of limitiations on my restitution payment ? How should I respond ?What is the name of your state (only U.S. law)?
 


Antigone*

Senior Member
What is the name of your state (only U.S. law)? NY

I recently found a check of $2000 that's over 2 years old that I misplaced and forgot about. It's from a law firm for a restitution payment due me for investment losses. I contacted the claims administration firm but they told me that the case was closed a year ago and funds are no longer available to reissue the check.

Do I have any recourse ? Is there a statute of limitiations on my restitution payment ? How should I respond ?What is the name of your state (only U.S. law)?
You can try depositing the check into your account and see what happens. You may get lucky and the check may pay. I don't advise you to use the money right away. I would wait at least 10 business days (AT THE VERY LEAST).

Before I anger others out there that say checks over 6 months old are no longer valid, that is not true. UCC 4-401 allows a bank to pay or return items at the bank's election. The check you deposit may or may not pay.

In the event that it does, the law firm has a 24-hour reclamation period after the bank pays the item to have it returned. On the other hand you may have alerted them and they may have already placed or renewed the stop payment on a check.

take care, ana
 

ChrisMiller

Junior Member
Uncashed Check over 2 years old

Thanks for the responses. I don't think I should bother to cash the check since it clearly states "void after 6 months" and is furthermore from an account that is related to a closed case ..... hence the account is almost certainly closed as well.

So the question is should I bother to take this to small claims court or even a lawyer ?

It seems this law firm may be getting a lot of "gravy" from people like myself who misplaced their checks ..... do they really have the legal right to seize those funds after just 6 months ? Needless to say they could have easily sent me a followup letter advising me of the uncashed check, but for selfish reasons that's not their procedure. They just like to keep the money and reject old claims like mine.
 

Antigone*

Senior Member
Let me ask my attorney friends a question. When settlement funds come in, don't the funds go into your attorney-client trust account?
 

ChrisMiller

Junior Member
Uncashed Check over 2 years old

The check is drawn on an account entitled "Securities Litigation Settlement Fund for Case XXX". It clearly states "void after 6 months".
 

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