Lisa owes $800 to Bella Shoe Store.She sends the store a check for $200 with the notation "payment in full" on the check.If the store cashes the check:

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The fact that Lisa made the notation "payment in full" on the check creates a potential dispute as to whether the check was intended to be an accord and satisfaction. Under the UCC, if a debtor sends a check with a notation of "payment in full" to settle a disputed claim, the creditor must either accept the payment as satisfaction of the claim or object in writing within a certain period of time. If the creditor accepts the payment, it is treated as a settlement of the claim, even if the amount is less than the full amount owed. However, if the creditor objects in writing within a certain period of time, the check is not considered an accord and satisfaction and the creditor can still pursue the full amount owed. Thus, the check may be subject to a UCC exception to the general rules for accord and satisfaction cases involving checks.

Lisa Owes $800 to Bella Shoe Store