Legal Question in Credit and Debt Law in Texas
Final Payment?
My company did some contract work in a customer's home, providing both goods and services, based upon a signed quotation acceptance. When the final payment became due (past due actually), the homeowner deducted $3500 from the amount due (equal to the programming for the system we installed, which was specifically itemized on thier original quotation and was provided). On the back of the check, in the endorsement area is the statement ''Final Payment for all work @ 1234 Texas Ave. Deposit of this ck. agrees to above statement.'' There has been no written dispute over the amount of the programming. Does this mean that if I cash the check, I forfeit rights to the $3500.00?
2 Answers from Attorneys
Re: Final Payment?
Scratch through the language and insert instead "partial payment on quotation accepted"
Re: Final Payment?
No. "Payment in full" and similar words are only binding if there's a legitimate dispute over the amount. Make sure you make a copy of the check. After the check clears, go after him in Small Claims.
When you get judgment, you know where he banks and what his account number is. That way you can check to see if a check in the amount of the judgment would clear and, if so, get a writ of garnishment against the bank.