644. Discharge of mortgage debt by accord and satisfaction.

644.     Discharge of mortgage debt by accord and satisfaction.

The mortgage debt may be discharged by accord and satisfaction1 where, for example, the creditor accepts some consideration in full discharge, not being payment after the debt has become due of a smaller sum than the debt2, or where the mortgagee agrees to discharge the security as part of a voluntary arrangement3.

A release of a debt is binding without consideration if made under seal, but otherwise must be made for consideration4.