Issue With Vendor

I had a vendor in MI do some work for my company last year in March and April. There were two check payments made to the vendor. One cleared the bank, the other was sent, we have proof that the check was cut and sent, but she "never got it". The bank confirmed that it did not clear. I didn't know the situation until JAN 4 this year when she sent the company a letter that we owed the simple account balance of 214.58 PLUS a ton of late fees and interest that left the total due on the account of $1000! We immediately made this right by sending out a check in the amount of $215.58 with a MEMO note account balance paid in full. They cashed the check, but marked out the memo field. The vendor stated they were going to sue for the late fees and interest even though explicit information and letters and communication stated that acceptance of the check meant the account balance was settled.

The contract with them states nothing about invoicing or interest on late accounts. There were no attempts to contact us from April 07 - Jan 08. They are saying they are suing stating we breached the contract by not paying them.

The invoice from them....that we got one time when we paid the bill plus the copy in January with all the fees, etc...doesn't show anywhere that interest and late fees would be charged.

Questions:
1. Do they have a right to sue?
2. I always understood the memo field on the check was binding when they cashed the check if it clearly stated account balance in full.
3. What should I do now? Anyone want to send them a letter for me with the details and history and tell them to stop action? I'd be willing to pay for a few hours of your time.

She really cannot sue for that and you would have to agree to those late fees to make them binding.

World Law's lawyers could also probably intervene and help resolve this if need be. You may email them on the home page.

[RNCTN]

Okay. I need some help from someone on this one. This vendor is back. She has filed a business complaint with my state...which I have responded to.

Now, she is out on the internet posting things about me and my business and is doing searches for me and every person with my name she finds, she is calling places of old employment, etc.

This person is ridiculous. What do I do? All that she feels she is owed is interest on an account ... what rights does she have?

Any lawyers want to send a letter for me to her?

You might email world law as the poster suggested if you need counsel to intervene.