§ 25-3-311. Accord and satisfaction by use of instrument. - North Carolina Statutes

§25‑3‑311.  Accord and satisfaction by use of instrument.

(a)        If a person againstwhom a claim is asserted proves that (i) that person in good faith tendered aninstrument to the claimant as full satisfaction of the claim, (ii) the amountof the claim was unliquidated or subject to a bona fide dispute, and (iii) theclaimant obtained payment of the instrument, the following subsections apply.

(b)        Unless subsection(c) of this section applies, the claim is discharged if the person against whomthe claim is asserted proves that the instrument or an accompanying writtencommunication contained a conspicuous statement to the effect that theinstrument was tendered as full satisfaction of the claim.

(c)        Subject tosubsection (d) of this section, a claim is not discharged under subsection (b)of this section when the claimant, if an organization, proves that (i) within areasonable time before the tender, the claimant sent a conspicuous statement tothe person against whom the claim is asserted that communications concerningdisputed debts, including an instrument tendered as full satisfaction of adebt, are to be sent to a designated person, office, or place, and (ii) theinstrument or accompanying communication was not received by that designatedperson, office, or place.

(d)        A claim isdischarged if the person against whom the claim is asserted proves that withina reasonable time before collection of the instrument was initiated, theclaimant, or an agent of the claimant having direct responsibility with respectto the disputed obligation, knew that the instrument was tendered in fullsatisfaction of the claim. (1899, c. 733, ss. 5, 6, 197; 1905, c. 327; Rev., ss.2154, 2155, 2346; C.S., ss. 2986, 2987; 1965, c. 700, s. 1; 1995, c. 232, s.1.)