Agreement to Compromise Debt

AGREEMENT TO COMPROMISE DEBT
FOR VALUE RECEIVED, the undersigned being a creditor of _
[Company] hereby enters into an agreement to compromise and
reduce the indebtedness due the undersigned on the following
terms and conditions:
1. The Company and the undersigned acknowledge that the
present debt due is $_.
2. The parties agree that the undersigned shall accept the
sum of $_ as full and total payment on said debt and in
complete discharge of all monies presently due,
provided the sum herein shall be punctually paid in
the manner following:
_
3. In the event the Company fails to punctually pay the
reduced amount, the undersigned creditor shall have
full rights to prosecute it claim for the total debt
due under paragraph 1 [less payments made].
4. This agreement shall be binding upon and inure to the
benefit of the parties, their successors, assigns and
personal representatives.
Signed under seal this _ day of _, 19_.

 
_______________________________
Creditor

 
_______________________________
Company

About author

SMB Reviews
SMB Reviews 492 posts

SMBReviews is committed to providing small and mid-sized business owners with the information and resources they need to select the best service or product for their company.

You might also like

Business Forms

Shipping Delays

Dear Thank you for your order. At this time we cannot fill your order due to an unexpected shipment delay from our overseas suppliers. We will hold your order for

Business Forms

Response to Letter Regarding Damaged Goods

Dear Your letter of [date] in which you described the condition of the you ordered from us has been brought to my attention. We are very sorry that this merchandise

Business Forms

Response to Letter Regarding Defective Merchandise

Dear This is to acknowledge your letter of [date] , in which you informed us that the merchandise delivered to you on [date] was defective. If you will read our

0 Comments

No Comments Yet!

You can be first to comment this post!