Please help

Before spending any further time on the Internet, you could benefit from meeting with an attorney to discuss specific facts in an attorney-client privilege environment, which the Internet is not. Even if you decide not to hire the attorney the consultation with him or her could help you to understand the issues and your options. Many reputable attorneys offer a free consultation. I wish you the best.

I think you could be in "big trouble" as the check was NSF by YOUR action. You'd best be prepared for anything from being sued for treble damages to having the DA come after you for bad check writing. You made YOUR "economic troubles" THEIR economic troubles. . (Not to mention the fact that you seem t have used company funds for personal purposes.) Yes. Trouble.

Suing you for $4000 is cost-ineffective, especially if the supplier is in Italy, Greece or Spain. Keep talking to the supplier. They all prefer a bad settlement to winning a lawsuit and then trying to collect it. The lawyer will be doing the same as I suggest: talking, and your supplier will wonder how you can afford a lawyer but not to pay them.

You should consult with a lawyer, as through this post you have admitted breaching the contract, and perhaps more. Your best course of action would be to resolve this with the supplier, as Mr. Doland suggests. That said, if you are in California, and the supplier is in Europe, it is doubtful they will come over 5,000 miles to pursue $4,000. The supplier could sue you in their home country (it could depend on the terms of the contract), but the supplier is unlikely to cross an ocean and a continent to collect it here. To get more specific advice, you will need to speak with an attorney about this.