N.D. Cent. Code, § 9-13-04 states that an accord is an agreement to accept in extinction of an obligation something different from or less than that to which the person agreeing to accept is entitled. The parties to an accord are bound to execute it. It does not extinguish the obligation until it is executed fully, according to N.D. Cent. Code, § 9-13-06.
N.D. Cent. Code, § 9-13-05 defines satisfaction as acceptance by the creditor of the consideration of an accord. There can be no satisfaction, if an attempted execution does not comply with the terms of an accord.[i]
In effect, accord and satisfaction admits the existence of an obligation under a previous contract.[ii] Moreover, it asserts that a new contract has been entered into between the parties.
[i] Kinney v. Brotherhood of Am. Yeomen, 15 N.D. 21 (N.D. 1905)
[ii] Malarchick v. Pierce, 264 N.W.2d 478 (N.D. 1978)