Legal Question in Business Law in New York

Cashing checks marked

We are a company in Boston and had a billing dispute with a company in NY. I sent them a check marked "Paid in Full # 0002154" on both the front and back. The cashed the check but crossed out the "Paid in Full" and are filing court for the remainder.

What should we do.

Thanks


Asked on 7/13/00, 11:47 am

2 Answers from Attorneys

Lawrence Graves Coolidge & Graves PLLC

Re: Cashing checks marked

You apparently posted this July 13th and it was only put out for replies today, 9/8. If you haven't already hired an attorney, you need to!

Briefly, notations on the face of a check are ineffective, but a restrictive endorsement on the back of the check can indeed be a defense to payment.

Best wishes,

LDWG

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Answered on 9/08/00, 5:27 pm

Re: Cashing checks marked

They have broken a state law; I'm surprised the bank accepted the check. I assume it wasn't for very much money.

There are two entirely different ways that you can address that. Consult an attorney.

I put entire contracts on the back of some of my checks!

What was the dispute about? (briefly) Over how much money? How much did you pay them (or did they 'take')?

What court are they filing in for the remainder?

I'm in the Boston area; call me at 527-0050 during business hours and I'll discuss this with you, or just answer these few questions in e-mail.

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Answered on 9/09/00, 1:00 am


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