Legal Question in Business Law in Maryland

The Law, Fines, & Fees for Recovery of Bounced Check to Retailer

What is the law, fines, and fees for recovering a bounced check in Maryland? I received a commercial check for $126 to put merchandise on layaway. The customer came back to pick it up the merchandise on the day that my bank notified me of the bounced check (but I was unaware). She gave me cash for the balance and took the merchandise home. When I found out that it bounced I made several calls to her home. Each time I called I was told one of the following; she was not there, she would call back, or she was going to come in to make good. We have sent two certified letters that she didn't accept. What are my options for recovering and what are the maximum funds I can recover?


Asked on 4/21/00, 9:13 am

1 Answer from Attorneys
Robert Sher Wagshal and Sher

Re: The Law, Fines, & Fees for Recovery of Bounced Check to Retailer

The Maryland Code provides that you can recover up to 3 times the amount of the check plus a collection fee of $25. To be eligible to do so, you must first wait 10 days. Then you send a notice of dishonor by certified mail to your customer. This is to advise her that the check bounced, although her bank probably notified her of this already. If she hasn't made the check good within 30 days after she received the notice of dishonor, you can sue her in the District Court of Maryland for the amounts stated above.

Good luck!

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Answered on 5/19/00, 5:24 pm


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