What must occur for an accord and satisfaction to be legally acknowledged?

For an accord and satisfaction to be legally acknowledged, it is essential that the terms are mutually agreed upon and performed by both parties involved. This legal concept arises in the context of resolving a dispute regarding an existing obligation, where one party agrees to accept something different from what was originally bargained for, as a form of compromise. The key elements are mutual agreement and the performance of the new terms; these demonstrate that both parties acknowledge and accept the modified arrangement, thereby fulfilling the requirements of a valid accord and satisfaction.

In contrast, the other options lack the necessary components to form an effective accord and satisfaction. Filing a report or having a guarantee for future payments does not relate directly to the immediate resolution of the current obligation through mutual agreement. Additionally, the requirement of a third party to validate the agreement is not typically necessary in the context of accord and satisfaction, as the valid agreement is primarily between the two disputing parties.