I am a produce wholesaler, and a lot of my customers pay me with checks. I have a certain customer whose checks have been charged back to my account several times during the year due to NSFs. They eventually clear up, but right now I am in a situation where the same check has been charged back to my account and I would like to know what I could do about it? If he continues to do this, can I actually take him to small claims court? Is there anything legal I can do about the situation?
If you are holding a bad check from this customer right now, you can attempt to collect via small claims court or take legal action of a more serious nature. Issuing worthless checks is either a misdemeanor or criminal act in most states.
However, why haven't you taken the much more effective route of putting this customer on a cash basis and stopped taking his checks? If it means this customer won't do business with you, you may well be better off without that business.
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If you are holding a bad check from this customer right now, you can attempt to collect via small claims court or take legal action of a more serious nature. Issuing worthless checks is either a misdemeanor or criminal act in most states.