I entered into a contract to build a website with a customer. The contract is written between our two companies (Mine and LLC and his an INC.). The customer gave a cash deposit of $600 which a receipt was written to his company for the cash deposit. After 2 weeks of developing site ideas and not getting any response from customer we chose to end the relationship and refunded his deposit in the form of a check made out to his business name. The customer defaced the check and tried cashing it under his personal account which the bank rejected. We then issued a certified check to his business for the same amount. The customer now wants us to issue the refund to him personally because the business name he entered into a contract under has been dissolved by the state of Georgia...which he can not cash the check. I am curious, is it illegal to engage in business using a false business name...is this something for the DA or local authorities?

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Charlotte, North Carolina