Zeta Corp was contractually obliged to pay $25 000 cash to Omega Inc on June 15th. On June 1st, Omega agreed to discharge the entire debt if Zeta immediately gave a cheque worth $15 000. Zeta did so. Nevertheless, on June 15th, Omega demanded payment of another $10 000. It is entitled to receive that amount.

Question

Quizplus · Accepted Answer

Omega Inc agreed to discharge the entire debt in exchange for the immediate payment of $15,000, which Zeta Corp fulfilled. Therefore, Omega Inc is not entitled to demand the remaining $10,000.

Zeta Corp Was Contractually Obliged to Pay $25 000 Cash