Legal Question in Business Law in Illinois

What legal standing does something written in the memo field of a check have? A client is claiming to own something he has no contract for by writing "ownership" in the memo line of checks.

There are two checks involved. One, I'm afraid I cashed without noticing the memo line. I'm afraid to cash the other. I was going to endorse it with a "an acceptance under reservation of rights" inscription but I read that does not apply in accord and satisfaction cases. So my question is: Can I cash the check without giving up my rights? Did I give up any rights by cashing the previous check?

(This is has to do with copyrights, but it could just as well be anything. If I rent you a house or a car, can you you change the terms to purchase just by writing that in the memo line of your rent check? Suppose no lease exists. I am not seeking advice on the copyright issues; I understand those pretty well. I just want to know whether cashing the checks could any difference.)

Asked on 3/17/13, 3:51 pm

1 Answer from Attorneys

Sanford M. Martin Sanford M. Martin, P.A.

No the memo notation on a check does not convert it to a written contract,

binding both parties. You may cross it out before you cash it, also.

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Answered on 3/18/13, 6:21 am

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