Multiple choice

One party agrees to accept less than contracted amount to settle a dispute

  1. consideration

  2. forbearance

  3. capacity rules

  4. accord and satisfaction
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Accord and satisfaction is a legal contract dispute resolution method where the parties agree to accept a different performance (the accord) than what was originally promised, which is then completed (the satisfaction) to discharge the obligation. This often occurs when a creditor agrees to accept less than the full amount owed to settle an honest dispute.

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