Legal Question in Credit and Debt Law in California

I was owed $400 for a personal loan. I received a check recently for that amount and the check bounced. I informed the sender and was later told that problem had been resolved. Shortly after that I received a second bad check for that $400. I received some legal advise saying I should send a demand letter to that person to pay me $800 immediately, even though the amount of the loan was for $400. I am very puzzled.


Asked on 3/11/13, 9:21 am

1 Answer from Attorneys

Charles Perry Law Offices of Charles R. Perry

In certain cases and by complying with California Civil Code 1719, a party who passes a bad check can be liable for up to three times the amount of the check and service charges. The demand, however, can only be for the amount of the check and service charges currently owed.

I do not see how one can make a justify a demand for $800 in the case you describe.

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Answered on 3/11/13, 9:31 am


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