Fiona Owed Lutz $5,000

question 11

Multiple Choice

Fiona owed Lutz $5,000.As the result of an unrelated transaction,Lutz owed Bing that same amount.The three parties signed an agreement that Fiona would pay Bing instead of Lutz and Lutz would be discharged from all liability.The agreement among the parties is:

• A)unenforceable for lack of consideration.
• B)voidable at Bing's option.
• C)an accord and satisfaction.
• D)a novation.

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Definitions:

Mortgage

A means of securing loans; title of property is held by the moneylender as security in some jurisdictions; in other jurisdictions, a mortgage is simply a charge against title.

Debtor

An individual or entity that owes money to another party, typically referred to in the context of loans, credit, or other financial obligations.

Mortgagee

The lender in a mortgage agreement, typically a bank or financial institution, which has the right to repossession if the borrower defaults.

Court

A government institution with the authority to adjudicate legal disputes between parties and administer justice in civil, criminal, and administrative matters.