- accord and satisfaction
- A method of discharging a claim whereby the parties agree to give and accept something in settlement of the claim and perform the agreement, the "accord" being the agreement and the "satisfaction" its execution or performance, and it is a new contract substituted for an old contract which is thereby discharged, or for an obligation or cause of action which is settled, and must have all of the elements of a valid contract. Holm v. Hansen, Iowa, 248 N.W.2d 503, 506.An executory bilateral contract of "accord" is an agreement embodying a promise, express or implied, to accept at some future time a stipulated performance in satisfaction or discharge in whole or in part of any present claim, cause of action or obligation, and a promise express or implied to render such performance. Such arises where parties, by a subsequent agreement, have satisfied the former one, and the latter agreement has been executed. The execution of a new agreement may itself amount to a satisfaction, where it is so expressly agreed by the parties; and without such agreement, if the new promise is founded on a new consideration, in which case the taking of the new consideration amounts to the satisfaction of the former contract. Accord and satisfaction may also arise in a criminal case.See e.g. Mass.Gen.L. c. 276, No. 55.In some jurisdictions, novation is a species of accord and satisfaction.- novation+ accord and satisfactionAn "accord" is an agreement whereby one of parties undertakes to give or perform, and other to accept in satisfaction of liquidated or disputed claim arising in either contract or tort something different from what he is or considers himself entitled to; and "satisfaction" is execution or performance of agreement. Harris, Upham & Co., Inc. v. Ballantyne, Tex.Civ.App., 538 S.W.2d 153, 158.
Black's law dictionary. HENRY CAMPBELL BLACK, M. A.. 1990.
Look at other dictionaries:
accord and satisfaction — n. A means of ending a dispute by forming an agreement (the accord) that one party will pay the other some consideration (the satisfaction, often less than the amount originally agreed to) and that this will discharge any remaining obligation.… … Law dictionary
Accord and satisfaction — bezeichnet im englischen Vertragsrecht einen Vertragstyp, bei dem der Schuldner durch einen neuen Vertrag eine Einrede gegen den alten Vertrag erwirbt. Der Schuldner kauft sich dabei von seiner Verpflichtung frei, dies geschieht jedoch nicht in… … Deutsch Wikipedia
Accord and satisfaction — In contract law, accord and satisfaction is the purchase of the release from a debt obligation. The payment is typically less than what is owed and is not paid by the actual performance of the original obligation. The accord is the agreement to… … Wikipedia
Accord And Satisfaction — A legal contract whereby two parties agree to discharge a tort claim, contract or other liability for an amount or based on terms that differ from the original amount of the contract or claim. Accord and satisfaction is also used to settle legal… … Investment dictionary
accord and satisfaction — A device enabling one party to a contract to avoid an obligation that arises under the contract, provided that the other party agrees. The accord is the agreement by which the contractual obligation is discharged and the satisfaction is the… … Accounting dictionary
accord and satisfaction — A device enabling one party to a contract to avoid an obligation that arises under the contract, provided that the other party agrees. The accord is the agreement by which the contractual obligation is discharged and the satisfaction is the… … Big dictionary of business and management
accord and satisfaction — noun the settlement of a debt by paying less than the amount demanded in exchange for extinguishing the debt • Hypernyms: ↑settlement * * * accord and satisfaction (commerce) The process by which a party agrees to release the other party from… … Useful english dictionary
accord and satisfaction — An agreement to accept less than is legally due in order to conclude a dispute. The new agreement (i.e., the accord) and the payment (i.e., the satisfaction, when made) replace the original obligation. See novation … Business law dictionary
accord and satisfaction — An executed agreement of accord. 1 Am J2d Accord § 1. In order to be a satisfaction there must be an accord or agreement to accept in extinction of the obligation something different from or less than that which the creditor is claiming or is… … Ballentine's law dictionary
accord and satisfaction — agreement whereby both sides waive part of their claims (Law) … English contemporary dictionary