If I had final payment in a letter and the person cashed the check, can they still sue me for more money?
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If I had final payment in a letter and the person cashed the check, can they still sue me for more money?
Gave a final payment check but did not put in the memo that it was final payment. However, the letter accompanying it, which the person has acknowledged, did have final payment in it. She cashed the check. Now she is asking for more money due to precedent that had been set regarding commissions, but nothing in writing. Do I have to pay her the rest of the money?
Asked on October 18, 2011 under Business Law, New York
Answers:
Michael D. Siegel / Siegel & Siegel, P.C.
Answered 13 years ago | Contributor
It is urban legend that you can write "final payment" and be absolved of the rest of the debt. If you have defenses to payment, like the amount really due is what you paid, then assert them. However, this will not cancel the debt.
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