I work for this company, and a customer bought a good ammount of product. He is from TX by the way. He sent in a check to make payment in full for the product. but asked us to hold the check for a few days because he needed to make a deposit in his account. When the day came, the check never cleared because there was a Stop Payment from Client. This is what should be considered fraud right? What should my boss do in this matter since this is a small company and we never had this kind of problems before?
2007-08-23 12:05:21 · 7 answers · asked by Anonymous in Business & Finance ➔ Other - Business & Finance
I would say file a police report.
You might alway want to explore sueing them.
2007-08-23 12:11:16 · answer #1 · answered by Uncle Pennybags 7 · 1⤊ 0⤋
In Texas where I am you are going to be screwed. Everything is slanted towards the deadbeat.
For example: You have to sue him/her where they live not where you are. If you were in Dallas and they are in Houston you have to sue them in Houston.
It isn't that you can't win but even a judgment doesn't insure collection.
But you can make their life pure Hell. Turn them over to a collection agency. Make sure you give the CA every phone number you have so they can call them anywhere.
The CA works off a % of the money collected so you won't have to pay anything up front.
You will find that the bank will also be no help. They will protect the deadbeat from anything you do also. I'm sure you thought about that.
What you will prob find is that this is an ongoing prob with this guy. He knows the laws better than you. More than likely he has a trail of this.
I suggest, if you haven't done so, to stop taking checks from ANYONE. If you have a checking account you prob have a debit card also. Pay the fees they are worth the piece of mind.
This will happen again if you don't learn from this.
2007-08-23 12:17:58 · answer #2 · answered by youngboy1606 7 · 0⤊ 0⤋
This is not a time for yelling and screaming. Contact the "client" once saying that the check did not clear and that you would like to have this mistake cleared up. Do this either by telephone using a recorder or by registered letter. In most States, it is legal to record any conversation to which you are party without informing any other parties to it.
If this does not have the desired effect, let it become a legal matter. Any legitimate company will NOT want to have a bad check charge hanging over it.
2007-08-23 12:17:39 · answer #3 · answered by Tom 6 · 0⤊ 0⤋
silly girl, You learned your lesson. Next time someone wants to buy something with a cheque, hold the goods until the cheque clears. Also, deposit the cheque right away. A person can't stop payment after it has been cashed. Although, in this case, it would have likely been returned as NSF, thats why you never send the goods until the cheque clears.
2007-08-23 12:13:48 · answer #4 · answered by zanthus 5 · 0⤊ 0⤋
Yes, this is fraud. Depending on the dollar amount, the only choice may be to take him to small claims court. Have your boss contact a lawyer (consultations are free) to find out what to do.
2007-08-23 12:13:44 · answer #5 · answered by casw1 4 · 1⤊ 0⤋
I would contact the customer right away. Sounds like fraud to me.
2007-08-23 12:10:54 · answer #6 · answered by Gary 5 · 1⤊ 0⤋
Yes.
2007-08-23 12:11:40 · answer #7 · answered by Alterfemego 7 · 0⤊ 0⤋