Debt Undertaking or Debt Accession?
Company A owes 2 million to Company B. Company C expressed its willingness to repay for Company A, and signed a repayment agreement with Company B. After repaid 500,000, Company C did not want to repay anymore. Company B asked Company A to repay the remaining debt. Company A defended that the 2 million debt had been transferred to Company C. Then who shall be responsible for the remaining debt? To answer this question, the key point is to define the intention of the repayment agreement. Is it a debt undertaking or a debt accession? According to the “Contract Law”,…