Legal Question in Banking Law in California

Re: Attorney gave me a $250,000.00 check without funds to cover it

The attorney is responsible to you. Why did the attorney bounce the check, what did the attorney say after it occured?

Joel

Re: Attorney gave me a $250,000.00 check without funds to cover it

A California attorney who bounced a $250,000 check would be in huge trouble with the State Bar of California, call them. Or are we talking about some internet scammer claiming to be a lawyer.

Re: Attorney gave me a $250,000.00 check without funds to cover it

You are certainly well within your rights to sue the attorney at issue for malpractice and/or file disciplinary action against the attorney with the California State Bar Association. For prompt, aggressive assistance in this matter, contact our Law Firm directly asap.

Re: Attorney gave me a $250,000.00 check without funds to cover it

Since your question is a two parter, our response is a two-parter:

As against the Attorney:

Some key facts are missing from your question. Specifically, what was the $250,000 check from the attorney for? Was this a payment to you from the attorney's trust account or from the attorney's general account? Was this money that was being held in trust for you by the attorney? Was this money the attorney owed you separate and apart from the attorney's law practice, or money he owed to you as a vendor or from some business transaction between you and the attorney? These questions are important to know what recourse you have against the attorney, whether you are in a position to get a pre-judgment attachment (seizure) or lien against the attorney's assets (if there are any such assets), and to what extent you can use the State Bar to pressure the attorney to making you whole.

As against the Bank:

Your statement indicates that, but for the $250,000 check from the attorney, you did not have funds in your account to cover the $1,000 withdrawal. If that is accurate, then the $1,000 you withdrew was the result of a deposit for which the Bank did not receive good funds, and you are obligated to return that $1,000. Your withdrawing the money from the account at an ATM is no different from writing a check for the $1,000, and since the attorneys' check was not honored, there were insufficient funds in your account to cover your withdrawal. Even if this was a mistake, and there were no devious intentions by anyone (except possibly the attorney), you still have to refund the $1,000 to the Bank. The Bank is holding the attorney's check as security for that withdrawal, and should return the check to you when you return the withdrawal, thus undoing the entire transaction with the Bank. As for the Bank closing your account, is there any other funds in that account? Or was the account opened just to deposit this check from the attorney?

To the extent that you incur or suffer any damages (e.g., fees, etc) to the Bank, you may be able to add this to the claim against the attorney.