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  Home >> Checks/Money Orders >> Checks You Received  
Cashed Check with Stop Payment on it: Now What?

I was issued my paycheck and somehow it was delayed in the mail. I told my employer and he decided to send me another check, stopping payment on the other one. I received my check and cashed it, not knowing it was the one with the stop-payment. I returned the last check sent to my employer. Now the check cashing place wants their money. Can I get in trouble with the law or get sued for this matter?


The place that cashed your check is out the amount of your first paycheck, because it bounced. They may also have been charged a fee by their bank. Somehow, your employer seems to be the one with money it should not have, through no fault of his own.

Are you liable to the check casher? Yes. Is your employer liable to you? Yes, if you pay back the check casher. Otherwise, your employer is liable to the check casher.

It sounds like the best thing to do is to get some form of three-way conversation going, so that all parties can agree to a resolution. In that way, no one will get into trouble or get sued.

Published on BankingQuestions.com 9/19/08