Hand written info on back of check

cdwiz · May 13, 2005

I have a Small business in NY and a larger company in NJ has purchased product from us at a low cost with a “policy of no return” they ordered 4 times a week for 5 weeks signed invoices for $21500.00 and are not willing to pay in full claiming that 3 deliveries were bad product. We had a meeting and they only want to pay about half which we were not happy about but we toke the check and we did not sign any papers stating that we agree on that amount, when we got back to our office we realized that on the “Back” of the check it is hand written by that company that this check is payment in full all outstanding invoices up till the last day they received product.

Am I allowed legally to erase those words that is hand written on the Back of the check?
Can I deposit that check? Is it fraud?

Scooter · May 16, 2005

Restrictive Endorsement

In most states, a restrictive endorsement will bind you. A restrictive endorsement might say, "Payment in Full" or something like that. The applicable Uniform Commercial Code Section is 3-311. If cashed with knowledge of the endorsement and the debt is subject to a bona fide dispute, you are basically s c r e w e d. Striking the endorsement will not relieve you either.

Either cash the check and accept the consequences or return the check--the choice is yours.

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Hand written info on back of check

cdwiz Law Topic Starter New Member

Scooter New Member

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