Definitions for "account stated"
an agreement by a creditor and debtor as to the amount due under a contract
an agreement, express or implied
Account Stated is defined as a statement between a creditor or the person to whom money is owed and a debtor (the person who owes) that a particular amount is owed to the seller as of a certain date.
Keywords:  prior, obligation, taking, new, place
a new obligation, taking the place of the obligation upon the prior account