A Doctrine to Avoid Injustice That Is Used by the Courts

question 4

Multiple Choice

A doctrine to avoid injustice that is used by the courts to bind a promisor to promises that a reasonable person would rely upon without consideration, is called:

• A) settlement agreement
• B) accord and satisfaction
• C) unliquidated debt
• D) performance contract
• E) promissory estoppel

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Definitions:

Interest Rate Changes

Variations in the cost of borrowing money or the rate paid on savings, which can affect economic activity.

Market Interest Rates

The prevailing rates at which borrowers can obtain loans and lenders can earn interest in the financial markets, influenced by monetary policy, market demand, and economic conditions.

Premium

An amount paid in addition to a standard rate or principal, often associated with insurance policies or bond prices over par value.

Discount

A reduction applied to the price of goods, services, or securities, either for promotional purposes or to reflect the present value of future cash flows.