piad invoice to wrong bank acct

[littlekittie]

i have paid a invoice to the bank details held for a business customer on our payment system but the most recent invoice quoted new bank details - in tiny writing and not marked new! They say that the acct I paid is in dispute and the acct charges have taken all the money and I have to pay again.As they didint draw attention to the fact that their details had changed - havent they got a cheek? I think as I have paid them to an acct in their name that its tough! What does anyone else think?

[Skyline D]

Legally it's your fault. You paid to the wrong account and the details for payment on the invoice weren't the ones you used to pay it. You might have invoices months and months apart. They aren't under any obligation to highlight the payment change details.

That said, if they KNOW there's still an account open in the old location and they are in dispute over it then it's pretty obvious they SHOULD have highlighted it. That's a moral issue though not a legal one.

I would have thought that you would be entitled to reclaim the money paid to the wrong bank account as it was sent in error but you'd need to speak to your bank about that and presumably you'd incur charges too.

[littlekittie]

so even thou the customer has acknowledged receiving the money, we still might have to pay again?

[auzzie]

If it was me, i would stand firm and hold THEM responsible. Legal or not. They knew that there was problems with this account, common sense would tell me to attach a memo to all invoices stating the new bank details and/or send out separate emails/faxes with the details until the dispute was over and the account closed. They have still had the money.
I would be inclined to send a letter saying this too. Bide your time. I would doubt if they will go to court. But if they do the court will surely have to wait to see what the outcome of their bank dispute was. Just play a waiting game.

[moomintroll1]

I agree with auzzie. I certainly wouldn't pay again.

I'm not certain of the legal issues, but they have received the money into an account in their name, by their own admission. I would have thought that, to pursue it as a debt in court, they would have a hard time proving that you owed them anything since you have actually paid them, albeit not into the account they wanted the money payed into.

It sounds like you've traded with these people before. Are they someone you want to continue to do business with, as refusing to pay them again, however justified we believe you are to do so, could sour your business relationship somewhat.