A creditor may compound or compromise with any joint contractor or co-obligor, and release him from all liability on his contract or obligation, without impairing the contract or obligation as to the other joint contractors or co-obligors.
Va. Code Ann. § 11-10
Compromise by creditor with co-obligor, etc
Applied in 2 court decisions — leading case Crossroads of Hillsville v. Payne (1995)
Most recently applied in Schiffer v. United Grocers, Inc. (July 1999)
Code 1919, § 5763.
Official source: Virginia Law Portal (LIS). Reproduced from public-domain Virginia statutes; confirm against the official source for the current text. Not legal advice.