Cheque cashing query

[NiteHawk2003]

my ltd company bought a laptop from someone on the express condition it wasn't faulty , stolen and as described. He was paid by a crossed cheque (ac payee only)

 

A day later i got a call from a cheque cashing company who asked me a couple of questions , namely did i issue the cheque , how much , who to and what for.

 

they also asked me if there were funds in the account to cover it and that there were no stops on the cheque. i answered all their questions..

 

I only tested the laptop breifly on mains power , after a day i found that the battery wasn't holding a charge and that if you did anything more than open a browser it overheated and died.

 

I called the guy who sold it and after not being able to get hold of him that day put a stop on the cheque. He eventually turned up 3 days later and collected the laptop.

 

I received a letter from the cheque cashing company , telling me the cheque is unpaid and demanding i pay them the full amount + £25 or they will "take further action"

 

can the 3rd party , i have no contract with enforce this. If they can this means i'm out of pocket to the tune of £600 with no goods to show for it.

 

a quick google search found this on http://www.chequeandcredit.co.uk

 

"Crossed cheques The rules concerning crossed cheques are set out in Section 1 of the Cheques Act of 1992 and prevent cheques being cashed by or paid into the accounts of third parties. On a crossed cheque the words “account payee only” (or similar) are printed between two parallel vertical lines in the centre of the cheque. This makes the cheque non-transferable and is to avoid cheques being endorsed and paid into an account other than that of the named payee. Crossing cheques basically ensures that the money is paid into an account of the intended beneficiary of the cheque."

 

The Cheque was a/c payee only , surely it was non transerable and there not enforceable by a 3rd party ?

[BRIGADIER2JCS]

Refer them to the seller mentioning the faulty computer that you no longer have.

[PaulW922]

The claim is doubtless on the basis of the questions you answered. Given that you have no contract with the cheque casher and that circumstances have changed since you took the call, I would think you are fine. Cheque cashing services are lawful, so I think the 'crossed cheque' aspect is a bit of a red herring. I think I would explain in writing that since taking that call the goods were found to be faulty,the seller took them back and that no money is therefore due to him, and leave it at that.

[king12345]

Tell them to get lost as you didn't issue the cheque to them and have nothing to do with them.

They should contact their customer (who will probably ignore them) , not you.