Kwijting
Discharge
A release is a declaration whereby a creditor discharges the debtor from his payment obligation.
Discharge is a legal act under Dutch civil law whereby the creditor releases the debtor from its obligations. This may be effected by payment, waiver or an express release agreement.
The term is relevant because discharge produces definitive legal consequences and precludes future claims. Without discharge, the debt continues to exist as a matter of principle, even after partial payment.
In practice, discharge is frequently granted upon the resolution of a dispute, pursuant to a settlement agreement or following compliance with a judgment, so that the parties may proceed with a clean slate.
“Upon receipt of the full amount, the creditor granted the debtor a discharge.”
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