Liu and Midge-Nero's creditors-contract with Nero for the discharge of Nero's liquidated debts on payment of a lesser sum.This is
A)a composition agreement.
B)a subrogation.
C)a suretyship agreement.
D)in violation of most states' laws.

Question

Quizplus · Accepted Answer

This is a composition agreement where the creditors have contracted with Nero to discharge his liquidated debts upon payment of a lesser sum. This is a common practice in business and is a legally recognized agreement.

Liu and Midge-Nero's Creditors-Contract with Nero for the Discharge of Nero's