Business owners, what remedies are available to you if you’ve received a bounced check from another party? North Carolina, like many states, allows you to receive additional damages separate from the actual value of the check. Following the specific requirements, it is possible to obtain funds and damages.
Additional damages are paid as part of the court costs of certain actions. The State of North Carolina uses this tactic to allow prevailing parties to recover attorney fees from insurance disputes. Plaintiffs may recover an amount equal to 1) the amount of the check; 2) any service charges or fees; 3) additional damages equal to three-times the amount of the check (which is not to be less than $100.00 and not to exceed $500); and 4) attorney fees incurred in enforcing the action. The court renders additional fees by its own discretion, but it’s possible for the court to waive fees by showing hardship.
In order to recover damages after receiving a bounced check, specific letters pursuant to the North Carolina statutes demanding payment must be sent first. As with many specific statutory processes, it may make sense to contact a civil lawyer to assist with the action. Maginnis Howard is a Raleigh civil litigation firm with cases in Cary, Apex, Wake Forest, Youngsville and surrounding areas. Contact us at 919.526.0450 or through our contact page. We can assist your business with obtaining funds owed from customers.