George and Holly disagree as to the exact amount one owes the other. They form a new agreement that, on fulfillment, will discharge the prior obli?gation. This is
A) a covenant not to sue.
B) an accord and satisfaction.
C) a release.
D) promissory estoppel.

Question

Quizplus · Accepted Answer

An accord and satisfaction is an agreement formed between parties in which one party agrees to accept something different from what was originally owed, and the other party agrees to provide that different thing in satisfaction of the original obligation. This new agreement discharges the prior obligation.

George and Holly Disagree as to the Exact Amount One