Letter Of Satisfaction Of Debt

• Category: Small Business - Legal - Agreements
• State: Multi-State
• Control #: US-0857SB
• Format: Word; Rich Text

Description

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. An Agreement for Accord and Satisfaction of an Undisputed Claim is a legally binding agreement between two parties that resolves a dispute between them without the need for litigation. This agreement is typically used when the parties to the dispute agree to settle the matter without going to court. It is an alternative to litigation that is beneficial to both parties because it is often less costly, faster, and more efficient than a lawsuit. The agreement must clearly describe the disputed claim, the amount of money being paid or exchanged, and the terms under which the parties are settling the dispute. It is important that the agreement is written in clear and unambiguous language so that both parties understand the terms of the agreement and are comfortable with the agreement. Once both parties sign the agreement, they must abide by the terms of the agreement and have a binding legal obligation to do so. There are two types of Agreement for Accord and Satisfaction of an Undisputed Claim—a full agreement and a partial agreement. A full agreement resolves all the issues of the dispute and is a complete and final resolution of the dispute. A partial agreement resolves only certain issues of the dispute and leaves open the possibility of further negotiation or litigation on the remaining issues.

An Agreement for Accord and Satisfaction of an Undisputed Claim is a legally binding agreement between two parties that resolves a dispute between them without the need for litigation. This agreement is typically used when the parties to the dispute agree to settle the matter without going to court. It is an alternative to litigation that is beneficial to both parties because it is often less costly, faster, and more efficient than a lawsuit. The agreement must clearly describe the disputed claim, the amount of money being paid or exchanged, and the terms under which the parties are settling the dispute. It is important that the agreement is written in clear and unambiguous language so that both parties understand the terms of the agreement and are comfortable with the agreement. Once both parties sign the agreement, they must abide by the terms of the agreement and have a binding legal obligation to do so. There are two types of Agreement for Accord and Satisfaction of an Undisputed Claim—a full agreement and a partial agreement. A full agreement resolves all the issues of the dispute and is a complete and final resolution of the dispute. A partial agreement resolves only certain issues of the dispute and leaves open the possibility of further negotiation or litigation on the remaining issues.