Do you have to pay back money from an incorrect deposit from an employer?

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Do you have to pay back money from an incorrect deposit from an employer?

I received a direct deposit last week from a freelance company I’ve worked for in
the past. I haven’t worked for them in a while though, so no money is owed to
me. I’ve called them 5 times this week and they have yet to do anything about it.
What should I do?

Asked on August 4, 2017 under Employment Labor Law, Kentucky

Answers:

M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

Legally, you are responsible for repaying this amount. Under the legal concept of "unjust enrichment", a person cannot benefit from the mistake of another as it would be inequitable. Think about it, had you not been paid what you were owed, then you would have an actionable claim. At this point, you should send them a letter, RRR. If there is still no response, then you can keep the money for the time being but know that at some point they might ask you for it back.

M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

Legally, you are responsible for repaying this amount. Under the legal concept of "unjust enrichment", a person cannot benefit from the mistake of another as it would be inequitable. Think about it, had you not been paid what you were owed, then you would have an actionable claim. At this point, you should send them a letter, RRR. If there is still no response, then you can keep the money for the time being but know that at some point they might ask you for it back.


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