Legal Dictionary of Pakistan
Quick lookup for English, Urdu, and Latin legal terms used in Pakistani jurisprudence.
account stated.
A balance that parties to a transaction or settlement agree on, either expressly or by implication. 0 The phrase also refers to the agreement itself or to the assent giving rise to the agreement. An account stated is a manifestation of assent by debtor and creditor to a stated sum as an accurate computation of an amount due the creditor." Restatement (Second) of Contracts § 282(1) (1981).If a creditor and a debtor wish to compromise or liquidate a disputed or unliquidated debt, they may do so by either a substituted contract or an accord. If, however, their agreement is in the nature of a computation, it is called an account stated. An account stated, then, is a manifestation of assent by both parties to the stated sum as an accurate computation of the debt." E. Allan Farnsworth, Contracts § 4.24, at 286 (1982). 2. A plaintiff's claim in a suit for such a balance. 3. Equity practice. A defendant's plea in response to an action for an accounting. The defendant states that the balance due on the statement of the account has been discharged and that the defendant holds the plaintiff's release. - Also termed stated account.