Discharge by Performance or Payment

Discharge by performance or payment occurs when a party fulfills their obligations under a contract. If you complete the work or service promised, or pay the amount due, you've "performed" your part, and the other party is then released from their obligations as well. This mutual fulfillment means the contract is considered complete, and neither party has any further responsibilities. Essentially, it’s the way contracts are concluded successfully, ensuring both sides meet their commitments and can move on without any further claims or duties.