Legal Question in Consumer Law in Massachusetts

Re: Contractor signs check which states ''Paid in Full''

Unless the contractor specifically informs you that by cashing the check he is NOT agreeing to waive his rights to recover additional amounts from you, you would likely have a solid defense to additional payment called "accord and satisfaction." By explaining (and noting on the check) that you consider the reduced amount full compensation for the work, you have essentially offered to resolve the dispute by paying the reduced amount you sent. Unless he objects to your offer as unsatisfactory to him - or indicates he intends to collect additional amounts despite your reduced payment - his cashing of the check in those circumstances is generally considered his acceptance of your offer, and thus a binding "accord and satisfaction," entitling him to nothing further.

Re: Contractor signs check which states ''Paid in Full''

No, you can't force him to accept a lesser amount than invoiced as paid in full. In fact he can cross that language out as not part of his endorsement and cash the check and bill you for the difference.