Acknowledgment by Debtor of Correctness of Account Stated

State:
Multi-State
Control #:
US-0036BG
Format:
Word; 
Rich Text
Instant download

Description Debtor Stated

An account stated must be based on the parties' mutual assent; it must appear, at the time of the statement, that indebtedness from one party to the other existed and that a balance was then struck and agreed to be the correct sum owing from the debtor to the creditor. There must be an exact, certain, and definite balance arrived at by the debtor and creditor.

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FAQ

An open book account is one where, at the time of filing the suit, the creditor still has an open or ongoing financial relationship with the debtor. For example, if your credit card has not yet been closed. The date of last entry for open book accounts is the date of your last payment.

An action for an accounting is an equitable cause of action. As discussed below, for statute of limitations purposes, the cause of action for an accounting must sometimes be distinguished from the remedy of an accounting.

Definition. A statement between a creditor and a debtor that settles the total amount of debt owed to the creditor.

In California, a common count is proper whenever the plaintiff claims a sum of money due, either as an indebtedness in a sum certain, or for the reasonable value of services or goods furnished.

A person is enriched if he receives a benefit at another's expense.") (citations omitted). California does not recognize unjust enrichment as a claim for relief.

N. an account of a customer kept in a business ledger of debits and credits (charges and payments), which shows the amount due at any given time. This can provide a clear basis for suing for a debt. ( See: account stated)

The most common way to defeat an action for account stated is to show that the debt claimed is new, i.e., that there was no prior course of dealing between the parties or, at best, only a very short period with very few transactions.

An account-stated claim requires a plaintiff to show three things: (1) a prior relationship as debtor and creditor, (2) a showing of mutual assent between the parties as to the correct balance of the account, and. (3) a promise by the debtor to pay the balance of the account.

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Acknowledgment by Debtor of Correctness of Account Stated