In an Assignment for the Benefit of Creditors, If Each

question 44

True/False

In an assignment for the benefit of creditors, if each creditor is paid a pro rata share of his original obligation, the debtor is then discharged from any further obligation to the creditor.

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Definitions:

Public Sale

An auction or sale where goods or assets are sold to the highest bidder in a public setting.

Shipping Costs

Expenses associated with the transport of goods from one location to another.

Liquidated Damages Agreement

A contractual provision that pre-determines the amount of damages to be paid if a party breaches the agreement.

Penal

Pertaining to punishment or penalties imposed for violations of laws or regulations.