An accord is an agreement to accept a substituted performance in satisfaction of a claim, and satisfaction is its execution. Together they discharge the underlying obligation.
A release discharges a claim directly without substituted performance.
Alternative Names:
Accord and Satisfaction, Release and Satisfaction
Why it Matters?
The doctrine appears most often in disputed debt contexts where a payment tendered as full satisfaction is accepted, which can discharge the entire claim even where the amount was less than owed. Depositing a check marked payment in full can constitute acceptance in some jurisdictions, though many have modified that rule by statute. Confirming the applicable rule before negotiating any tendered instrument is the practical step.
Frequently Confused with
Related terms
Frequently asked questions
Can depositing a check discharge a larger claim?
How does accord differ from release?
