Overpaid in Wages - Capitol Commercial Collections

Drunk_Monkey

Hello all,

I received an email from Capitol Commercial Collections chasing an overpayment in wages.

I left Next in Sept – but was chased in Dec. I assumed everything was in order – and spent the money on good faith that everything was ok. The amount is approx. £100 (although they’ve arbitrarily charged me an administration charge of £10 ?).

I was going setup a payment plan – but I don’t think the mistake is my own and I had no reason to suspect my last payment as being incorrect as it was significantly less than usual.

I am wondering what kind of relationship I have with “Capitol Commercial Collections” and where this dispute can lead to?

Thank you.

AJ1982

Drunk_Monkey wrote: »

but was chased in Dec. I assumed everything was in order – and spent the money on good faith that everything was ok.

How you do you think it was ok to spend the money, your sentence contradicts itself.

Drunk_Monkey

AJ1982 wrote: »

How you do you think it was ok to spend the money, your sentence contradicts itself.

"How you do you think it was ok to spend the money"

Your sentence doesn't even make sense.

It was perfectly acceptable to spend the money as most people would. My employers had never made mistakes before – and I had spent the money on my monthly bills as I invariably do.

Guest101

Spending the money (a small amount really, so hardly noticeable) is one thing, but arguing the toss when you know it's an overpayment is another.


You have no relationship with CCC, they do have one with your former employer, and if you don't pay up, the next stage will be court I imagine.

Poppie68

Drunk_Monkey wrote: »

"How you do you think it was ok to spend the money"

Your sentence doesn't even make sense.

It was perfectly acceptable to spend the money as most people would. My employers had never made mistakes before – and I had spent the money on my monthly bills as I invariably do.

I think AJ1982 is alluding to the fact that it seems from your sentence that you spent the money after you had heard from the debt collection company in December after dismissing the possibility of an overpayment?

borders

if the employer seeks to recover an overpayment after the employee has left the company, the employee may be able to resist recovery on a legal principle known as estoppel, which prevents anyone from taking action on a matter that has been already settled. For the defence of estoppel to apply:

• the employer must generally have made a representation of fact which led the employee to believe that he was entitled to treat that money as his own;
• the employee must, in good faith, have “changed his position”, in other words spent some or all of the money;
• the payment must not have been primarily caused by the fault of the employee.

There have been further developments in this area of the law and the House of Lords has formulated the more flexible defence of “change of position”, which involves a recipient not having to pay any or part of an overpayment if it will be unjust for them to do so. So where an overpayment is made and the recipient spends part of it, they can be ordered to repay the money that they have not spent.




Basically the employer is allowed to ask for the overpayment back but they are not necessarily entitled to get it. One key element is, did you spend the money before or after being advised of the overpayment? (As other posters have mentioned). To avoid possible further action it may be worth contacting the company and collection agency to try and reach an agreement over what would be a 'just' amount for you to pay. A court could decide 100% in your favour but maybe not.