Business Law 4th Edition by David Twomey,Marianne Jennings

تمرين 3

Ellen borrowed money from Farmers' Bank. As evidence of the loan, she signed a promissory note by which she promised to pay to the bank in installments the amount of the loan together with interest and administrative costs. She was unable to make the payments on the scheduled dates. She and the bank then executed a new agreement that gave her a longer period of time for making the payments. However, after two months, she was unable to pay on this new schedule. The bank then brought suit against her under the terms of the original agreement. She raised the defense that the original agreement had been discharged by the execution of the second agreement and could not be sued on. Decide.