On the due date, Merrel makes proper tender of full payment of a note to Russell, who is entitled to payment. If Russell refuses payment, Merrel is discharged from liability for:
A) the face amount of the note.
B) any interest accrued until the time of tender.
C) interest after the due date.
D) all repercussions from this transaction.

Question

Quizplus · Accepted Answer

When a debtor makes a proper tender of payment and the creditor refuses it, the debtor is discharged from liability for any interest that would accrue after the due date. However, the debtor is still liable for the principal and any interest accrued up to the date of tender.

On the Due Date, Merrel Makes Proper Tender of Full