| A | B |
|---|
| accord and satisfaction | Parties' agreement to change the obligation required by their original contract and the performance of the new obligation. |
| composition of creditors | Agreement by all creditors to accept something less than the total amount of their claims in full satisfaction of a debtor's obligations. |
| consideration | Promise or action of one person in exchange for the promise or the action of another person. |
| donee | Person receiving a gift. |
| donor | Person giving a gift. |
| firm offer | Merchant's binding written promise to keep open an offer to buy or sell goods. |
| forbearance | Refraining form doing what one has a right to do. |
| gift | Voluntary transfer of ownership of property without consideration. |
| legal value | Change in the legal position of a party as a result of the contract. |
| liquidated debt | Debt for which the parties agree that the debt exists and on the amount of the debt. |
| nominal consideration | Token consideration, which bears no relation to the real value of the contract. |
| option contract | Underlying contract to keep an option open. |
| output contract | Agreement to purchase all of a particular producer's production. |
| past consideration | Act that is already been performed and thus cannot be consideration for a promise in the present. |
| promisee | Person to whom a promise is made. |
| promisor | Person who makes a promise. |
| promissory estoppel | Enforcement of a promise to avoid injustice, even though no consideration is given for it. |
| requirements contract | Seller agrees to supply all of the needs of a particular buyer. |
| release | Party settles a claim at the time the tort occurs, and the liability is unliquidated because the extent of damages is uncertain. |
| statute of limitations | State laws setting time limit for bringing a lawsuit. |
