Agreement to Compromise Debt

AGREEMENT TO COMPROMISE DEBT

FOR VALUE RECEIVED, the undersigned being a creditor of _

[Company] hereby enters into an agreement to compromise and

reduce the indebtedness due the undersigned on the following

terms and conditions:

1. The Company and the undersigned acknowledge that the

present debt due is $_.

2. The parties agree that the undersigned shall accept the

sum of $_ as full and total payment on said debt and in

complete discharge of all monies presently due,

provided the sum herein shall be punctually paid in

the manner following:

_

3. In the event the Company fails to punctually pay the

reduced amount, the undersigned creditor shall have

full rights to prosecute it claim for the total debt

due under paragraph 1 [less payments made].

4. This agreement shall be binding upon and inure to the

benefit of the parties, their successors, assigns and

personal representatives.

Signed under seal this _ day of _, 19_.

_______________________________

Creditor

_______________________________

Company

Tags: , , , , , , , , , , ,
Bookmark and Share

Leave a Response