Under the common law,a creditor who agrees,after a $9000 debt becomes due,to take $6000 from the debtor as full payment,has received ____________ for the reduction in the debt.
A) consideration
B) no consideration
C) partial consideration
D) full payment
E) equity

Question

Quizplus · Accepted Answer

Under common law, a creditor who agrees to accept a lesser amount than what is owed without any new consideration has received no consideration for the reduction in the debt. Consideration is required for a contract modification to be enforceable.

Under the Common Law,a Creditor Who Agrees,after a $9000 Debt