Suit for repayment of cash advance

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Question

Country: United States of America
State: CaliforniaIn October, 2004 I worked for a lady doing home health aide duties. She got a cash advance for $100 for me as a loan. She wound up firing me and didn't get her money back. She then pestered my mom into paying her. My mom sent her a check. When I knew she had received it, I went to her and asked her to sign my final timecard. She said no. So, my mom stopped payment on the check. Now, over a year later, she has sent my mom certified letters and has threatened to sue her for not only the 129.00 ($100 + 15 fee + ?), but for treble damages. Can she do that? My mom agreed to pay her, but she can't do it until February 2006. She said that that was unacceptable. Also, I need to know if I have any rights because of her writing my mom a letter stating that I am a drug user, not true. My mom is not only my landlord, but is also the registered owner of my car, helps me with my son, etc. If she sues my mom, what is our defense?

Answer

You are allowed to stop payment for a good reason. Also it is defamation to say you are drug user--you could even sue. She needs to go to small claims if she has an issue...