In contract law, a situation in which a
debtor buys debt forgiveness from the
creditor. For example, suppose one owes $100,000 to a creditor and is paying monthly. The debtor may agree with the creditor to make accord and satisfaction for $75,000 immediately. This provides the creditor with immediate
liquidity and relieves the debtor of the
debt. In the event of a dispute, the burden of proof that accord and satisfaction have been made lie with the debtor.