Account Stated

An amount that accurately states money due to a creditor; a debt arising out of transactions between a debtor and creditor that has been reduced to a balance due for the items of account.

A creditor agrees to accept and a debtor agrees that a specific sum is a true and exact statement of the amount he or she owes. The debtor may agree in words to pay the amount, or it may be understood that the debtor has accepted the account stated by failing to object within a certain period of time.