1. Dan borrows $50 from Chuck, promising to repay it on February 1. On February 1, Dan informs Chuck that he cannot repay the loan as promised.

The best he could possibly do would be to pay $40 if Chuck would agree to cancel the whole debt. Chuck agrees; accepts the $40 and sues for the additional $10. Will he recover? Was the promise discharging the $50 debt supported by consideration?

2. Would it make any difference if Dan paid the $40 to Chuck on January 15th? or if the $40 payment was accompanied by an agreed upon autographed picture of Elvis?

3. Paul Patient goes to the dentist for routine dental care. Following the cleaning Paul receives a bill for $150. Paul contends that this is unreasonable for the services performed and that the proper amount owing is $75. Dan Dentist agrees to accept $100 in full satisfaction of the obligation; Paul pays; Dan sues Paul for the $50. Will he recover? Was there consideration to support Dan's promise to discharge the $150 obligation?

4. Would your answer be any different if instead of reaching an express agreement, Paul sends Dan a check for $100 marked "Payment in full for services rendered"; Dan cashes the check, crossing out the language and substituting "accepted as partial payment for services rendered?" Under such circumstances, can Dan recover the $50 difference?

Answer rating: 100% (QA)

Dan borrows 50 from Chuck fails to repay it on time and then pays 40 instead of 50 prompting Chuck t... View the full answer