How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Law Educator, Esq. Your Own Question
Law Educator, Esq.
Law Educator, Esq., Attorney
Category: Legal
Satisfied Customers: 116753
Experience:  JA Mentor -Attorney Labor/employment, corporate, sports law, admiralty/maritime and civil rights law
Type Your Legal Question Here...
Law Educator, Esq. is online now
A new question is answered every 9 seconds

I have gone to work for an electronic payment systems who sells

This answer was rated:

I have gone to work for an electronic payment systems who sells credit card processing manchines. They will take post-dated checks through their check readers and deposit them for the merchants on the future date of each check for a fee.
Is this legal in the state of Indiana and Kentucky...isn't a post dated check a promissory note and uncollectable legally?

Legally, there is no such thing as a "post dated check." The acceptance of a post dated check is a contractual agreement between the party writing the check and the party accepting the check. Thus, it is not illegal in IN or KY for a company to agree to delay deposit of a check and as long as the company agrees it is a civil matter of breach of contract if the party does not have funds available when deposited. By law, a person is supposed to have the funds available in the account when they write the check, thus, if funds are not available when the check is deposited it is still issuing bad checks and can be pursued both criminally and civilly, although many prosecutor's prefer to refer these cases to civil court.

I truly aim to please you as a customer, but please keep in mind that I do not know what you already know or don't know, or with what you need help, unless you tell me. Please consider that I am answering the question or question that is posed in your posting based upon my reading of your post and sometimes misunderstandings can occur. If I did not answer the question you thought you were asking, please respond with the specific question you wanted answered.

If you did not get all of the information you may have wanted PLEASE USE THE REPLY TO EXPERT LINK IF YOU HAVE FOLLOW UP QUESTIONS AND NOT THE FEEDBACK BUTTON FOR BAD SERVICE. PLEASE CLICK ON “OK,” “GOOD” or “EXCELLENT” SERVICE. Kindly remember to ONLY rate my answer when you are fully satisfied. If you feel the need to rate anything less than OK, please stop and reply to me via the or REPLY TO EXPERT button with whatever issue or clarification you may need.

Also remember, sometimes the law does not support what we want it to support, but that is not the fault of the person answering the question, so please be courteous.


There can also be a delay of an hour or more in between my answers because I may be helping other customers or taking a break.

You can always request me through my profile at or beginning your question with “For PaulMJD…”

Customer: replied 4 years ago.

My company guarantees the money to the merchant if the check bounces, so how would my company take the "bad check writer" to court? My company is out in Denver.


Also, the statement has also come up from a merchant: " I could be counter sued by the check writer, along with your company, for putting through a check that I knew [the merchant] was no good to begin with...that's why is was post dated.


Question: Is that correct?



Your company would have to file a civil suit, generally in small claims, against the person who wrote the check to recover the money. This is similar to payday loan companies, where they take a check and hold it until payday and deposit it. They have to sue the check writer in small claims for breach of contract.

If you/the merchant had an agreement to hold the check, this is a contractual agreement as I said, which means if you/the merchant breached that contract and submitted the post dated check for cashing to the bank before the agreed time the check writer could claim breach of contract.
Customer: replied 4 years ago.

One more question, and I'll let you go.

I happen to have a check for $27,900.00 that bounced on me back on 12/29/98.

I had a disgruntled employee who made off with some of my files and took the check with her.

I thought all this time, it was lost, but about a year ago, I found the check in a box of files we finally recovered


Question: All in all, is it too late to prosecute the people who wrote this check in any way?

I am afraid that if this was in Indiana, a contract for payment of money has a statute of limitations of 6 years, so it would be too late to pursue the check writer.
Law Educator, Esq. and other Legal Specialists are ready to help you