Legal Question in Credit and Debt Law in Pennsylvania

Accord & Satisfaction of debt by cashing check

In Pennsylvania, can you settle a dispute by sending a check to someone you have the dispute with and writing on the back "Negotiation of this check constitutes acceptance as full and complete satisfaction of all debts owed". The check is made out for less than they are asking, but represents what you think is a fair settlement.

What if they cross out the words (the ones above in quotes) before they cash the check? That is to say, if they cross out the words can they still sue you for the rest of the amount they are claiming or have they lost the right to sue because they cashed the check?


Asked on 6/01/00, 7:25 pm

1 Answer from Attorneys
Gerald Hershenson Law Office of Gerald M. Hershenson

Re: Accord & Satisfaction of debt by cashing check

The answer to your question is yes. However, I suggest that you send a certified letter setting forth that the check is being delivered upon the condition that it is payment in full of all obligations. The endorsement on the back of the check can be altered. Therefore I suggest that you write on the face of the check "payment in full of all obligations". That can not be altered. However, write on the front and back of the check to fully protect yourself. If the check is cashed you have a defense under the law. Good luck.

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Answered on 7/19/00, 10:14 am


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