"Sorry, we'll pay as soon as possible..."

[Gino]

That is totally an urban legend... if it were that easy NO ONE would be in debt

From Snopes:

Stacy....

I don't discount what you have written there, but either the rules have changed over the years or there are extenuating circumstances. It wasn't that way in the 90's.... also not common practice like it is today. I don't believe everything I read or hear and that statement from Snopes or wherever.... I think is false and only half written.

This very act was performed on us some years ago for a rather large amount of money. We got a deposit down of 50%. The job was completed and the customer asked for three extra weeks and divide the balance in half. We agreed and we deposited almost $6,000. Three weeks later we went to them and asked for the final payment. They dicked around for a week or two and then finally said.... did you look at our last payment ?? That was your final payment as marked down in the memo portion. Things were still done with checks being returned to you after a period of time and sure enough... that's what it said. 'Paid in Full'.

We went to court and the judge ruled in their favor stating that by accepting and deposititng that check by signing the back in conjunction to thier memo.... we had indeed agreed to the new terms.

I don't know if there is a time limit or what, but we bitched up a storm immediately when we found this out. The only thing I can say is....that guy has been laughed out of business around here.

As for it being urban legend.... it's not. It actually happened to me and others since I've talked about it openly, but it stuck with me all these years and where or when I can tell people to be aware of sneaky acts like this I will do so and throwing this Snopes thing up as a smoke screen doesn't do anyone any good that might have this done to them. Simply put, if you have this done to you or your business, report it immediately and don't de-face the check, that part is a well known fact for 100 years, and go after the bastard that gave it to you.

 

[Bigdawg]

Gino... I quoted from Section 3-311 of the Uniform Commercial Code... which has nothing to do with Snopes in itself...

some years ago it may have been different as you indicate. That is the current code now.

 

[busypc]

Same thing in here

We have very few clients we let ride for 30 days. We collect at least a deposit of 1/2 up front on most custom items (especially the larger ones). It's amazing how someone will come pick up their order when they've paid up front rather than let it sit in my office for 2 weeks if they haven't paid. We live in an area that has been affected by Hurricane Rita and Ike and there are many contractors who are here today and gone tomorrow...we simply don't extend credit to anyone we haven't done business with for years. Just don't want to get burned. Because somehow the overhead has to be paid!

 

[BobM]

I've also noticed that none of my suppliers have sent me a Christmas card so far this year. Usually they've started rolling in by now. Not that I'm basing purchasing decisions on the quality of cards they send (I base decisions on proximity of contact information) but I see it as another indicator of the state of the industry.

Well, if you would pay them they would have the money for the Christmans cards. Just kidding Pat.

Things are tough, life is hard, can't even afford your Christmas card.​

 

[Pat Whatley]

Gino, I don't know the specifics of what actually happened to you so I'm sure there's a reason it didn't work out with you. My sophomore years in college (1990-1991) I took two Business Law classes. I distinctly remember studying cases about people writing "PAID IN FULL" on checks (or at the bottom of contracts when nobody was looking) and that the "MEMO" line on a check is for the legal use of the issuer only. It doesn't matter what is written there, it's not considered a legal document.

 

[Gino]

Well, I'm sorry Stacy.... as I said, I was not discounting or ignoring what you wrote or found there in that article and to Pat, I'm sorry to mess up your thread and appreciate the nice way you put it about my particular circumstances, but its just hard to swallow that our lawyer let us down for $5,900. The entire job was around $22,000. We got stiffed out of $5,900. Back then, that was a lot of money. Still is, but we needed it more back then........ I think.


Anyway, not doubting the stuff doesn't exist, but for others, be aware of people still doing this and fight for your rights... especially now if we know it can't be done any longer.