I wrote a check and put paid in full and no more monies due; the check was cashed. Is this in fact settled in full?

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1. 

   Ira Goldberg

   Park Ridge Bankruptcy Attorney

   Contributor Level 8

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   Answered February 04, 2011 12:37. Maybe, the issue revolves around whether you were specific enough to create a binding contract. Also there could be an issue over whether such checks just are sent to a lockbox or are not really reviewed. If this is the case the receipient may be able to claim they did not agree. If there was a specific conversation in which some agent of theirs agreed to accept an amount of cash in return for a release you would want to not only send them both sides of the check, but refer to the specifics of when, to whom, what was said and agreed to et. al.
   I am also assuming that this was just a note on the check---as opposed to a restrictive endorsement(i.e. writing on the back of the check to the effect---"endorsement hereof constitutes full and complet settlement of ...............").

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2. 

   Lonnie McDowell

   Cottonwood Debt Collection Attorney

   Contributor Level 15

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   Answered February 04, 2011 12:14. Could be, although unless you sent a cover letter with it spelling out terms and conditioning cashing the check on acceptance of those terms, or have some evidence that the check was sent as part of a negotiated settlement, they may claim that there is not enough notice or specificity in your short check memo to constitute a binding contract.
   But you can send them a copy of both sides of the endorsed check and see what they say.

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