For five years, Maxine had been regularly receiving the same bill for $850 from Credit Landscaping. She didn't think she should pay it because they botched up the landscaping around her house. However now, after these five years she sends them a $425 check with a note saying; "Take this- it's all you're going to get." This move by Maxine will
A) have no effect on the limitation time period.
B) immediately give rise to a legal action.
C) get her out of the liability.
D) start the time all over again on the statue of limitations.
E) spur Credit Landscaping to turn the balance owed over to a collection agency.

Question

Quizplus · Accepted Answer

Maxine's payment and note do not restart the clock on the statute of limitations, but it also does not fully settle the balance owed. As such, Credit Landscaping may still choose to pursue legal action or turn the balance over to a collections agency, but the statute of limitations will not be affected by Maxine's partial payment.

For Five Years, Maxine Had Been Regularly Receiving the Same