Which of the following is true of an accord?
A) The accord terminates the original contract.
B) The nonbreaching party cannot enforce the original contract if the accord is not satisfied.
C) It is enforceable even though no new consideration is given.
D) An accord is only reached when both parties of the contract fail to meet their contractual obligations.

Question

Quizplus · Accepted Answer

An accord is a contractual agreement between parties to accept alternative performance to that which was originally agreed upon. An accord does not terminate the original contract, but rather suspends it until the accord is satisfied. The nonbreaching party still has the right to enforce the original contract if the accord is not satisfied. An accord is valid without new consideration if it is a substitute for the original consideration agreed upon in the contract. An accord may be reached regardless of whether both parties have fully performed their obligations under the contract.

Which of the Following Is True of an Accord