Cengage Advantage Books: Business Law 9th Edition by Arnold Goldman ,William Sigismond

Exercise 7

Gold signed a promissory note payable to her stepfather as evidence of a loan from him and from her mother. When she did not pay the amount due on the note and her stepfather sued her for the balance due, Gold claimed that her mother had canceled the obligation. There was proof that her mother had in fact orally canceled the note. Must Gold pay the balance due? (Community National Bank Trust Company, Executor of Michel Thorgevski v. Mary J. Gold, N.Y. 45 A.D.2d 947)