Overpayment by composite company - do i pay up?

[sgould]

Hi,

Bit of a newbie to forums - so please bear with me

I used to get paid through a composite company before I saw the light and went ltd.

Last week i got a letter from the composite company I used to be with saying they had overpayed me by about £1k one week. I didn't notice the increase as was doing overtime etc etc anyway, this was approx 1 month off a full 2 years. The composite are threatening me with court action etc if I don't pay up.

My question is do i have to pay back the money to the composite company as had lots of conflicting advise from people??

Any advice would be greatly appreciated...

[minstrel]

If it was a genuine mistake on their part and you agree with them you probably should pay it back. From a legal point of view it probably comes down to the contract you signed with them.

Having said that, I'd probably not acknowledge receipt of the letter and sit on it for a while.

If they're disorganised enough to overpay you, they might be disorganised enough to forget they are chasing you.

Also, there's a possibility that as it's only £1k they might write it off if it looks like it is going to take a lot of effort to get it back off you.

If they start sending recorded delivery letters etc and it looks like they are going to follow through it might just be easier to pay up.

If this happened a long time ago it's possible they're already written it off.

[tim123]

If it was a genuine mistake on their part and you agree with them you probably should pay it back. From a legal point of view it probably comes down to the contract you signed with them.
.

From a legal point of view it comes down to the concept of "unjust enrichment". Unless you can prove that (a) you reasonably expected this money and (b) have actually spent it (not simply moved it from your bank account), you have to pay it back, regardless of what the conract says.

tim

[NotAllThere]

With (b), what happens if you spent that particular £1000, but happen to have £100'000 in you current account? I mean, any of us can easily spend £1000 in a day - how does it get tied to a particular overpayment?

Or do you only get b) if you've no money in your account? Seems rather unjust towards rich people.

[tim123]

Or do you only get b) if you've no money in your account? Seems rather unjust towards rich people.

That's it. The underlying principle is that the money should be paid back. So ISTM that it's not really unfair towards rich people, but that it's unfair towards people who make mistaken payments to poor people.

tim

[sgould]

Many thanks for the advice its kinda what I thought would happen i.e. i have to pay up... needless to say I've spent the money so will please poverty and try for repayment at £10 a month or similar, lol!!

[redboy]

Pay up you tight get. I know where you live but its a long way from me now matey! LOL.