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  1. #1

    Default Bad Check Issued as Final Paycheck After Termination

    Hello- My girlfriend lives and worked in Washington, DC for a company based in Georgia.

    She was laid off as a result of her company filing for Chapter 7. Her boss gave her a paycheck for the previous pay period, which would have been due on the day of her layoff, regardless. He warned her that the check would bounce and suggested she take it to a Western Union and cash it there.

    There has been no word on payment for the two weeks she worked since that pay period ended, and the business now has its doors shuttered.

    We took the check to three different Check Cashing facilities and all three told us that because it was out-of-state (the company operated out of Gerogia), they couldn't cash it.

    I'm wondering if she should take to a bank and let it not clear so she can show that it wasn't good. How long does the company have to a) make good on this check and b) pay her for the last two weeks? What are her options for recourse if they don't come through?

    Many thanks for your time!

  2. #2
    Join Date
    Dec 2007
    Posts
    2,357

    Default Re: Bad and Final Paychecks / Termination

    That's what I would do. Just be aware that when it DOES come back NSF, her account will be charged a pretty hefty fee.

    At that point, however, she can file a claim with the state Dept. of Labor for unpaid wages. The state has ways of finding the owners that we mere peons don't have.

  3. #3
    Join Date
    Sep 2005
    Location
    Behind a Desk
    Posts
    98,846

    Default Re: Bad and Final Paychecks / Termination

    The fact that a check cashing company won't accept an out-of-state check doesn't mean that the check itself is bad - just that the company has a policy against accepting out-of-state checks.

    If the bank that issued the check has branches in her state, she can see if they'll cash it for her.

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