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An employee lost his paycheck. We put a stop payment on the check. Someone found the check and cashed it at a deli store. We issued a new check to the employee. We have been contacted by a collection's agency representing the deli. What do we do?

By SandyH Asked Aug 17 2009 4:21PM
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Top Answer out of 2

by Elfie on Aug 17, 2009 at 4:24 pm Permalink

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If the deli cashed the cheque wihout verifying the person cashing it was the recipient, and without verifying the cheque was valid, it is their fault. I don't think the collection agency can do anything, as the deli is at fault for not verifying the information before issuing the money.
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Avatar Elfie Aug, 17 2009 at 04:43 PM
...sad point...
Avatar SandyH Aug, 18 2009 at 02:40 PM
Like I mentioned above the employee endorsed the check. So.. will need to check it out with the bank and see if they have some suggestions. Good comments so far guys!
Avatar Elfie Aug, 18 2009 at 03:06 PM
Oh ugh. That does change things... Good luck?

Answer 2 out of 2

by jerv on Aug 17, 2009 at 4:43 pm Permalink

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I would get a copy of the check. There is a signature on there and I can almost guarantee that it doesn't match the handwriting of your employee.
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Avatar SandyH Aug, 18 2009 at 09:28 AM
Unfortunately the employee endorsed the check. So.. still trying to figure this out.
Avatar jerv Aug, 18 2009 at 04:12 PM
That makes things hard.
I always sign mine right in front of whoever is cashing it.


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An employee lost his paycheck. We put a stop payment on the check. Someone found the check and cashed it at a deli store. We issued a new check to the employee. We have been contacted by a collection's agency representing the deli. What do we do?

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