Recent legislation in some provincial jurisdictions overrides the common law that governed acceptance of payment of a lesser amount in full satisfaction of the debt.Which of the following would a law professor most likely state was the policy rationale for the legislation?

Question

Quizplus · Accepted Answer

The policy rationale for the legislation is to promote settlement of debts on a final basis, meaning that creditors cannot later come back and demand additional payment after accepting a lesser amount as full satisfaction of the debt. This gives debtors more certainty and finality in the resolution of their debts.

Recent Legislation in Some Provincial Jurisdictions Overrides the Common Law