California Codes

Cal. Civil Code § 1523 (2026)

✓ current as of May 2026
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Acceptance, by the creditor, of the consideration of an accord extinguishes the obligation, and is called satisfaction.

Notes of Decisions
Cited in 8 cases, 1957–2019 · leading case: Flynn v. Sun Life Assurance Co., 809 F. Supp. 2d 1175 (C.D. Cal. 2011).
Flynn v. Sun Life Assurance Co., 809 F. Supp. 2d 1175 (C.D. Cal. 2011). “Similarly, even if Flynn’s election of the insured option had become effective as to the Sun Life policy, this Court concludes that his later substitution of the increased pay option and actual receipt of the increased pay operated as an accord and satisfaction.”
Fanucchi & Limi Farms v. United Agri Prods., 414 F.3d 1075 (9th Cir. 2005). · cites it 2× “See Cal. Civ. Code § 1523 ; Moving Pictures Mach.”
Trans-World Int'l, Inc. v. Smith-Hemion Prods., Inc., 972 F. Supp. 1275 (C.D. Cal. 1997). “” Cal. Civ. Code § 1523 (West 1997). Under this principle, if Michael agreed to participate in the rescheduled February show in exchange for new consideration — in this case, Smith-Hemion’s alleged promise not to pursue legal claims against Michael based on his failure to appear…”
Brown v. Friesleben Est. Co., 307 P.2d 388 (Cal. Ct. App. 1957). “” (Civ. Code, § 1523.) On the subject of when an obligation is discharged by accord and satisfaction, we now refer to Restatement of the Law of Contracts, section 417 et seq.”
Rabinowitz v. Kandel, 1 Cal. App. 3d 961 (Cal. Ct. App. 1969). “) “Though the parties to an accord are bound to execute it, yet it does not extinguish the obligation until it is fully executed.”
IndyMac Venture v. Pinn CA2/7 (Cal. Ct. App. 2016). “” (Civ. Code, § 1523.) Thus, “[a]n accord and satisfaction is the substitution of a new agreement for and in satisfaction of a preexisting agreement between the same parties,” with “[t]he usual purpose [being] to 7 settle a claim at a lesser amount.”
Dragnea v. Dragnea (Bankr. E.D. Cal. 2019). “CAL. CIV. CODE § 1523. 2 Part performance of a duty, when expressly accepted by the 3 creditor in writing in satisfaction or in pursuance of an 4 agreement in writing for that purpose, without any new 5 consideration, “extinguishes” the duty.”
Bakersfield Country Club v. Pac. Water Co., 192 Cal. App. 2d 528 (Cal. Ct. App. 1961). “There is no allegation that it was obtained by fraud or mistake, or that it was in any way invalid.”
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