Legal Question in Banking Law in California

If I deposit a check for services rendered, the check clears and the bank gives me access to the money, I spend it, but the company ceases to exist quickly afterwards, who is responsible for the money spent?


Asked on 12/24/11, 12:27 am

1 Answer from Attorneys
Michael Stone Law Offices of Michael B. Stone Toll Free 1-855-USE-MIKE

In other words you fell for the fake-check scam. You are responsible because, while the bank gave you credit for the amount of the check immediately, you did not wait for the check to fully clear before withdrawing money. There never was a "company." I hope you didn't wire some of it to Nigeria by Western Union, and I hope any "services" you performed didn't involve other illegal activity for which you could be held responsible, for example reshipping stolen merchandise.

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Answered on 12/24/11, 5:49 am


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