Accord and satisfaction is a method of discharging a claim whereby the parties agree to give and accept something in settlement of the claim and perform the agreement. Accord is the agreement and satisfaction is its execution or performance.
A contract is usually discharged by performance of the terms of the agreement. However, the parties may agree to a different performance. This is called an accord. When the accord is performed, this is called an accord and satisfaction. The original obligation is discharged.
In order for there to be an accord and satisfaction, there must be
(1) a bona fide dispute;
(2) an agreement to settle the dispute; and
(3) the performance of the agreement.
A settlement in which one party promises to forego an undisputed, liquidated claim in exchange for a promise to perform, or the performance of, a pre-existing duty will not be held to be enforceable by many courts, because of the absence of consideration. However, the promise to perform, or the performance of, anything slightly different from the pre-existing duty is sufficient consideration to support a promise to forego the claim. When a claim is disputed in good faith, or when an undisputed claim is unliquidated (the amount owed has not been determined), a settlement of such a claim is clearly enforceable.
The Texas Agreement for Accord and Satisfaction of an Undisputed Hospital Claim is a legal document used in the state of Texas to resolve an undisputed hospital claim. This agreement refers to a situation where a hospital or healthcare provider and a patient or their insurance company have come to an understanding settling a bill or outstanding payment. This agreement is considered in situations where there is no dispute regarding the hospital services provided or the amount billed for those services. It acts as a contract between both parties, outlining the terms and conditions of the settlement. The agreement typically begins with a title indicating its purpose and may include additional information such as the names and contact details of both parties, the patient's identification details, and the invoice or account number related to the hospital claim. It outlines the terms of the settlement, including the agreed-upon amount to be paid, whether it will be a lump sum or installment payments, and the due date or schedule for those payments. It may also include any additional conditions or obligations that both parties must uphold to finalize the settlement. Keywords relevant to this agreement may include "hospital claim," "accord and satisfaction," "undisputed claim," "Texas agreement," and "settlement." These keywords help categorize and identify this specific legal document. While there may not be different types of Texas Agreement for Accord and Satisfaction of an Undisputed Hospital Claim variations, there could be templates or forms available that are tailored to specific circumstances, such as agreements used by different hospital systems, insurance providers, or specific regions within Texas.
