Exam 16: Third Party Rights

Dale signs a contract with Everbest Insurance Company that intentionally confers a benefit on Flo as the designated beneficiary.Flo's rights under the contract will vest

Trudy and Uri enter into a contract for the sale of Trudy's house for which Uri agrees to pay her $200,000.Uri wants to transfer his right to the ownership of the house to Val,his niece.This transfer

If a contract requires that performance be rendered directly to a third party,the third party is an incidental beneficiary.

Lois takes out a life insurance policy with Mega Insurance Corporation that names her son,Nero,as the bene?ficiary.This is

An intended third party beneficiary can sue a promisor directly for breach of contract.

Dwayne and Ewell enter into a contract for the design of an addition to Dwayne's house for which he agrees to pay Ewell.Ewell transfers his right to payment under the contract to Flex Construction Company.Flex is

Linus and Marlena agree that Linus will fix Marlena's roof in exchange for $8,000.Linus spends half of the amount due under the contract to acquire the materials for the job from Natural Roofing Supplies.Natural Roofing is

Loren and Kendra enter into a contract for the distribution of Loren's produce to local restaurants for which he agrees to pay Kendra.Kendra transfers her right to payment under the contract to County Bank.This transfer is

A contract can prevent an assignment of a right to receive funds.

Jean Paul and Hermosa enter into a contract under which Jean Paul agrees to provide greensward services for Hermosa's Golf Links.Under an antidelegation clause,their contract can prohibit and prevent the transfer of

Contract duties cannot be assigned but they can be delegated.

An assignee's rights are free of the defenses that the obligor has against the assignor.

Equity Company and Faye enter into a contract for Faye to cater a meeting of Equity's shareholders.When Faye's schedule conflicts,she asks Gudren to serve Faye's coffee and pastries at the meeting.This transfer of duties is

An assignment is effective only after notice is given to the obligor.

A transfer of contract rights to a third party is an assignment.

Consumers Credit Company is a creditor beneficiary in a deal that involves Devon and Elena.Consumers Credit,like most creditor beneficiaries,is

Esther and Faisal agree that Esther will fix Faisal's car in exchange for his paying a debt owed by Esther to Gladys.Gladys is

In a bilateral contract,a party who makes a promise that benefits a third party is a promisor.

A creditor beneficiary benefits from a contract in which one party promises another to pay a debt that the promisee owes to a third party.

An "as?signment of all rights" creates an assignment of rights but not a delegation of duties.