stop payment of check

i sold my business and on the day of inventory he paid me by check and i hand
over business to him but after that he stopped check payment. what i need to do ?

Asked on June 4, 2017 under Business Law, Wisconsin


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

You sue him for the money: he is in breach of contract by not paying, and you can recover monetary compensation (i.e. get the money he owes you) and/or get your business back. But you need to act *immediately*, before he, say, sells anything of value and hides or loses the money, leaving you unable to recover compenation or get the inventory, etc. back. File a lawsuit on an "emergent" (think: "urgent" or "emergency") basis to expedite matters, and while doing so, request an injunction barring the buyer from selling or transfering any assets pending the resolution of the case (i.e. to hold the status quo in the meantime). Filing on an emergent basis can be complicated, and seeking an injunction--a court order--increases the compexity; you are strongly advised to retain an attorney to help you.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.