Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Don owes Chuck an undisputed debt of $1,000. Don writes a check to Chuck for $700, and writes, paid in full in the check. Chuck
Don owes Chuck an undisputed debt of $1,000. Don writes a check to Chuck for $700, and writes, "paid in full" in the check. Chuck cashes the check. a. The entire obligation is paid, because this was an accord and satisfaction. The creditor can still collect $300, because there was no consideration given by the debtor for Chuck's promise to accept the amount as paid in full. c. The remaining $300 is still due, because paying smaller sum than the amount claimed can never discharge a larger amount, even if there is a dispute. d. A quasi discharge has occurred
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started