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Agreement to Compromise Debt
AGREEMENT TO COMPROMISE DEBT
The undersigned a creditor of__________________________
(Company) hereby agrees to compromise the indebtedness due the
undersigned creditor on the following terms and conditions:
1. The Company and the undersigned agree that the present
debt due is $ ___________.
2. The parties agree that the undersigned shall accept
the sum of $_____________ as full payment on said debt and in
complete discharge of all monies due, provided the sum herein
shall be promptly paid in the following manner:
3. In the event the Company fails to promptly pay the
compromised amount, the undersigned creditor shall have the
right to prosecute its claim for the total debt due under
Paragraph 1 less any payments made.
4. This Agreement shall be binding upon and inure to the
benefit of the parties, their successors and assigns.
Signed and sealed this____day of _____, 19__.
_______________________________
_______________________________
Form 116
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