Opinion ID: 1776292
Heading Depth: 2
Heading Rank: 2

Heading: Aged Accounts Receivable

Text: Murray argues that, under the terms of the contract, if an accounts receivable item was to be deducted from the escrow account, it was to be returned to the shareholders, Murray and the Solomon brothers. Murray argues that instead of simply charging this item against the escrow account at the end of six months as the contract provided, Alfab and SMCI pursued the matter in court and ultimately recovered less than they had anticipated, thus preventing Murray and the other shareholders from having the opportunity to collect the account. However, the contract provided: The shareholders of SMCI represent to ALFAB that the accounts receivable of SMCI are accurate, valid and are collectable. Under the evidence the trial court could have found that the item was uncollectable and then could have properly deducted it from the escrow.