Legal Question in Credit and Debt Law in Texas

Settlement of Debt

A = Creditor

B = Debtor

''A'' submits a request for payment of ''X'' dollars.

''B'' rejects the amount, claiming that only ''X'' minus ''Y''

dollars is the amount owed.

If ''B'' sends ''A'' a check for ''X minus Y'' dollars with a statement ''Acceptance of this check is acceptance as payment in full'' and the check is cashed, is the debt paid?

Asked on 5/22/03, 1:12 am

2 Answers from Attorneys

Nile Copeland Cheng Copeland PLLC
0 users found helpful
0 attorneys agreed

Re: Settlement of Debt

This may help:

www.capitol.state.tx.us/statutes/bc/bc0000300.html#bc037.3.311

Look at 3.311. Accord and Satisfaction by Use of Instrument

You should speak with an attorney or a law school professor to explain this in full.

Read more
5/22/03, 8:36 am
Peter Bradie Bradie, Bradie & Bradie
0 users found helpful
0 attorneys agreed

Re: Settlement of Debt

Possibly. It depends on whether the dispute is legitimate or not. Arbitrarily saying that B only owes A $X-Y doesn't necessarily make it a legitimate dispute. B has to also show A why B is entitled to $Y offset in order to make the dispute legitimate.

Read more
5/22/03, 10:53 am

Related Questions & Answers

More Credit, Debt and Collections Law questions and answers in Texas

Looking for something else?

Get Free Legal Advice

88099 active attorneys ready to answer your legal questions today.

Credit, Debt and Collections Law Legal Forms

Browse and download our attorney-prepared and up-to-date legal forms from $4.99

Find a Legal Form

Featured Attorneys

Anthony RoachLaw Office of Anthony A. RoachChatsworth, CA
Terry A. NelsonNelson & LawlessRiverside, San Bernardino, CA
Phillip D. Wheeler, Esq.Phillip D. Wheeler, Attorney At LawMorro Bay, CA
Find An Attorney

Are you an Attorney?

Earn additional revenue and grow your business. Join LawGuru Now