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Accord and Satisfaction: Cashing A Check In Georgia With Paid In Full Written On It

checkbook.jpgNaturally, when someone owes you money and sends you a check for less than the amount owed, many people feel that they should be able to cash the check and still collect the rest of the money owed to them. But what if you were sent a check that said “paid in full” (or something to that effect), and you cashed it? Could you still collect the rest of the money you’re owed? In Georgia, the answer is tricky, and you need a good lawyer to help you deal with this situation.

Briefly, if you cash a check for less than the amount owed to you and that check has “paid in full” written on it, you do not necessarily lose your right to the rest of your owed money. Several factors come into play. For example, do the facts of your case demonstrate that you and the other party disagree about the amount owed? If the answer is yes, and you cash a check for less than the amount owed to you, then you may have extinguished your legal right to the rest of your money, even if the check does not have conditional language such as paid in full written on it.

To the contrary, if no dispute exists, then cashing a check that is for less than the amount owed to you may not extinguish your legal right to the rest of your money, even if the check has conditional language such as paid in full written on it.

As said, the situation can be complex and involves much more than the above-mentioned scenarios. The facts of your case as applied to Georgia law will determine the claims you have against the other party.