If a company wrote a check to an employee, and the check was cashed at check cashing store and it bounced twice, is the employer responsible for paying back the bounced check?

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If a company wrote a check to an employee, and the check was cashed at check cashing store and it bounced twice, is the employer responsible for paying back the bounced check?

Asked on July 11, 2013 under Employment Labor Law, Oklahoma

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 8 years ago | Contributor

Legally yes: the check bounced due to either the company's negligence, or carelessness (not makin sure it had enough funds) or deliberate bad act (knowingly writing a check when it didn't have the money). In either event, it was the company's fault; and when a person or business is at fault in causing another person to lose money or suffer some other injury, the one at fault is liable. Practically, however, the only way to make the company pay, if it does not do so voluntarily, is to sue it, which--depending on how much money is at stake, may or may not be worth it.


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