QUESTION
As an employer, am I obligated to honor a lost sub-contractor pay check after 6 years? Why?
Asked on Jul 14th, 2015 on Labor and Employment - Georgia
More details to this question:
One of my biggest clients has several Physician's working as sub-contractors of Medical Practice. One of the Physician's left the practice and we processed an mailed him his monthly Collections on claims billed on his behalf. He left the state and never cashed his check. The checking account this check would have been drawn on was closed years ago and he had not cashed the check of made any inquiries on his pay until recently. What are our legal obligations regarding honoring this check?
3 ANSWERS
If you are in Wisconsin, the statute of limitations for a contract action is 6 years.
Answered on Jul 15th, 2015 at 1:03 AM
Appellate Attorney serving Grosse Pointe Farms, MI
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I would need more details in order to definitively answer your question, however after six years he is certainly coming up on the statute of limitations if he is not already exceeded it for his claim. On the other side of the coin, the money was truly and fairly owed to the individual, on a moral basis, he should be paid.
Answered on Jul 14th, 2015 at 6:25 PM
You have not asked an employment law question. I am unable to answer. Your question involves banking law and unclaimed property law. I suspect, after x years, you were required to turn those funds over to the State. You have no right to keep the money. I do not know how many years.
Answered on Jul 14th, 2015 at 6:14 PM