If a seller or vendor does not provide products purchased or services paid for, they may not keep the payments for said products or services, and must repay them.Anyone may offer to settle claims against them by offering to pay some of the claims but not others, or by offering to pay some claims in exchange for a release from liability for other claims. It is legal to make this offer--but you do not need to accept it. You are free to turn down the offer and sue him for any/everything you believe he owes you. Bear in mind that lawsuits do cost time and money, and are never certain: it is often worthwhile to give up some claims in exchange for  getting immediate, certain payment without having to go through litigation.