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Accord and Satisfaction
A legal settlement where an agreement is made to discharge a claim by providing some form of compensation that differs from the original obligation.
Liquidated Debt
A debt for which the exact monetary value has been determined and acknowledged by both the debtor and the creditor.
Accord and Satisfaction
A legal settlement where a disputing party agrees to accept a payment or performance that is different from what was originally owed or expected, thereby settling the claim.
Preexisting Duty
An obligation that one party already legally owes to another under a contract, which cannot serve as consideration for a new contract.
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