Worthless Checks

Worthless Checks Division Contacts

IBERIA PARISH
300 Iberia Street, Suite 200
New Iberia, LA 70560
337-369-4444

ST. MARTIN PARISH
415 South Main Street
St. Martinville, LA 70582
337-394-2220

ST. MARY PARISH
Courthouse Building Franklin, LA 70538
337-828-4100 ext. 350

WHAT IS A WORTHLESS CHECK?

Under Louisiana Law, a worthless check is a check given by a person who intends to defraud another person at the time the check is given.  The primary legal concept behind our worthless check law is that at the time of this transaction, the person issuing the worthless check knew that he or she had insufficient funds in the bank to cover the amount of the check.  That is why our check department can only accept checks that have been marked by the bank as "NSF", "INSUFFICIENT FUNDS", or "ACCOUNT CLOSED".

Other checks may still give rise to the criminal prosecution but those checks require additional investigation to prove the act(s) of fraud, theft, or monetary instrument abuse.  Before they can be prosecuted additional evidence must be collected by local law enforcement agencies, such as the Sheriff or Police.

“It always happens to the other person" is not always true. You could be the victim of one of today's most numerous crimes - worthless checks. The purpose of this web page is to alert, educate and assure you that this office will do everything possible to recover your loss from being a victim of a worthless check writer.

I hope the information you are about to read assists you. Alert and knowledgeable citizens are the first defense against all crimes particularly worthless checks. If you have any questions, contact my office at the numbers shown on this web page.

Don't let worthless checks get the best of you and your bottom line. This crime can be controlled, but only with your help."

- M. Bofill Duhé

WHAT TO LOOK FOR WHEN BEING PRESENTED WITH A CHECK:

It is important that you create a check policy within your business and stress to your employees the importance of being thorough when accepting a check.  If your business has a set policy for all customers, then no one should have any reason to feel that they are being treated unfairly.  It is a good idea to post a "checklist" where your employees can see it easily.

• IS THE CHECK DATED TODAY?                                                                Checks must be dated the same day they are written.  A pre-dated check, posted date check, or check without a date is not prosecutable.  A check that is "held" by you or your business cannot be prosecuted.

• ALWAYS DEMAND INDENTIFICATION.                                                        Under banking regulations and criminal law, the burden is on the merchant to verify the identity of the signer.  Record the identification presented and record which of your employees accepted it.  (A Louisiana driver's license is your best protection - it contains a photograph and a signature for you to use in comparison to the check writer.)

• RECORD ALL INFORMATION ON THE FRONT.                                       All information collected should be recorded on the front of the check.  Driver's license number, date of birth, phone number, and initials of employee accepting the check are just some examples of the information that should be recorded.  Collecting and recording all of this information is viable in the collection or prosecution of the check.

• IS THE ADDRESS CORRECT?                                                                               Require a permanent street address, not a Post Office box number.  Remember the sheriff's office may have to serve a warrant on this person.  NO ONE LIVES AT A POST OFFICE BOX.

• CONSIDER THE CHECK NUMBER.                                                      Most fradulent checks are written on new accounts, less than 1 year old.  Be careful when taking low numbered checks as these may indicate a new account.  Some banks now print the date the account was opened under the Dollar line.

• IS THE SIGNATURE LEGIBLE?                                                                  DO NOT accept checks that are previously signed.  Have the person writing the check sign the check in your presence.  Confirm the signature on the personal identification with the signature on the check.

• DOES WRITTEN DOLLAR AMOUNT AND NUMBERS CORRESPOND?      The banks will not honor checks with discrepancies such as dollar amounts, scratch outs, etc. and our office will not be able to prosecute a check with discrepancies.   

PROCEDURE FOR WHEN A CHECK IS RETURNED:      

1. The check MUST be presented to your bank within 30 days of issuance.
2. You will receive the worthless check back from your bank, stamped by the bank to indicate the reason for non-payment:  "NSF", "INSUFFICIENT FUNDS", or "ACCOUNT CLOSED".
3. Immediately contact the check writer by telephone to see if he or she will make good on the check.  It may have been a simple mistake.  Ask the check writer to come in immediately and provide you with cash to make the check good.
4. If the check writer does not make the check good, you must sent the check writer a 10 Day Demand Letter required by law.  The written notice must be sent certified mail, return receipt requested.  A sample letter is shown below.  As an added service to the citizens of the 16th Judicial District, this office will send your letter for you.  You must bring in a check or money order for $9.64 (price of postage for certified mail, which is subject to change) made payable to the Distrtict Attorney's Office, for each person that you wish to file a complaint on. 
5. If you send out the 10 Day Demand Letter and you receive no contact from the check writer, you can now choose to turn the worthless check over to the District Attorney's Office for collection and/or prosecution.
6. Checks must be turned into the District Attorney's office within 90 days from the date the check was written.
7. A Check Complaint Form MUST be filled out and turned in for each individual check you are turning over to the District Attorney's Office.  The form can be located on our website or in the office.  You must attach the original check with the bank flag or notation indicating the reason it was not honored by your bank.  If you mailed out the 10 Day Demand Letter, you must attach the copy of your letter along with the signed receipt from the certified letter or correspondence (unopened) marked "Refused" or "Unclaimed".
8. At the request of the District Attorney's Office, you might have to provide any documentation of the sale (invoices, sales receipts, etc.) of the merchandise, goods, or services.                                       

SAMPLE 10 DAY DEMAND LETTER
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Dear Mr. Doe,

Your check #__________ dated on______in the amount of $_____________has been returned to me by my bank stamped NSF/ACCOUNT CLOSED. 

You have ten (10) days from receipt of this letter to bring payment in the form of cash or money order for the amount of this check plus NSF fees or this matter will be turned over to the District Attorney's office for prosecution.

Thanks,

Merchant

PROCESS FOR COLLECTION OF WORTHLESS CHECK:

• Once the check is turned over to the District Attorney's Office for collection or prosecution, if a 10 Day Demand Letter was not sent, the letter will be sent.

• Remember that once the check is turned over to the District Attorney's Office for collection and/or prosecution, you MUST NOT accept any payment towards the worthless check.  If payment is received by you or one of you employees, do not deposit it.  You must mail the payment back to the check writer and inform them that they need to contact the District Attorney's Office.

• If no payment is received after the 10 Day Demand Letter has been sent, an affidavit for an arrest warrant will be filed.  In order for this affidavit to be filed, we must have the signature of the merchant on the warrant.  Our office will contact you, (the merchant) to come into our office to sign the affidavit.  Without signature, the warrant will not be filed and we will not be able to continue the process of collection on the worthless check.

• Once the check writer is arrested on the worthless check warrant, he or she will be required to appear in court.  Upon the result of any plea or finding of guilt, the District Attorney's Office will ask the court to impose the order of restitution.

TYPES OF CHECKS OUR OFFICE CANNOT ACCEPT:

• Pre-Dated Check
• Post-Dated Check
• "Held" Check
• Check without a Date or Physical Address
• Pre-Signed Checks (Checks must be signed in front of you or your employee unless received in the mail.)
• Stop Payment Check
• Checks marked "Frozen/Blocked", "Refer to Maker", or "Drawn Against Uncollected Funds"
• Two Party Check or Third Party Checks
• Pay Day Loan Checks
• Checks for Criminal Bond Obligations or Warrants
• Out of State Checks
• Payroll Checks
• Check Not Presented to the Bank Within 30 days of Issuance
• Check which partial payment has been received
• Check less than $5.00
• Check given in exchange for a returned check
• Identity of the check writer is unknown
• Identity of who accepted the check is unknown
• Check for which the items of purchase have been returned
• Checks not made payable to business accepting check
• Checks involved in Bankruptcy
• Both parties knew there were insufficient funds at the time of transaction
• Check not processed through your bank