Question 1

Devon makes a contract with Edie that indirectly benefits Felipe.Neither Devon nor Edie intended this result.This is

Accepted Answer

A) a delegation. 
B) an assignment. 
C) a third party beneficiary contract. 
D) not a delegation,an assignment,or a third party beneficiary contract.

Question 2

A delegation relieves the party making it of the obligation to per?form.

Accepted Answer

A) True 
 B)False

Question 3

In most cases,a contract that prohibits its assignment cannot be assigned.

Accepted Answer

A) True 
 B)False

Question 4

There are no exceptions to the rule that any duty can be delegated.

Accepted Answer

A) True 
 B)False

Question 5

Carol takes out an insurance policy on her car.Carol can assign her policy to a third party

Accepted Answer

A) under any circumstances. 
B) under no circumstances. 
C) as long as she does so in writing. 
D) if a court approves the assignment.

Question 6

Vicky contracts with Warren for the delivery of hospice services to benefit Xavier.This is

Accepted Answer

A) a delegation. 
B) an assignment. 
C) a third party beneficiary contract. 
D) prohibited by law.

Question 7

A third party's rights under a contract vest when the conditions for vesting are satisfied.

Accepted Answer

A) True 
 B)False

Question 8

Assignment and delegation occur after the original contract is made.

Accepted Answer

A) True 
 B)False

Question 9

A contract between Lee and Mary may not be assigned if it

Accepted Answer

A) does not expressly permit assignment. 
B) involves a sale of goods. 
C) involves personal services. 
D) is oral.

Question 10

A transfer of contract rights to a third party is a delegation.

Accepted Answer

A) True 
 B)False

Question 11

No contract can prohibit delegation of the duties of the contract.

Accepted Answer

A) True 
 B)False

Question 12

Pam borrows $5,000 from Quality Auto Sales to buy a car. When Pam does not pay the loan or return the car,Quality wants to transfers the right to the payment to Rapid Collection Agency.Rapid agrees to pay Quality for this right,but for a price that is less than the amount owed.Can Quality transfer this right to Rapid without Pam's consent? If so,and Quality committed fraud in the deal with Pam,could Pam legiti?mately refuse to pay Rapid? Explain.

Accepted Answer

The answer of Pam borrows $5,000 from Quality Auto Sales...

Question 13

All that a delegator needs to do to make a delegation effective is to express an intention to make the delegation.

Accepted Answer

A) True 
 B)False

Question 14

As long as a contract is personal in nature,all rights under the contract can be assigned.

Accepted Answer

A) True 
 B)False

Question 15

It is legally necessary to notify the obligor of any assignment of rights to a third party.

Accepted Answer

A) True 
 B)False

Question 16

Marco and Fred enter into a contract for the sale of Marco's apartment for which Fred agrees to pay him $100,000.Marco cannot prohibit Fred from transferring his right to the ownership of the apartment because such a prohibition is

Accepted Answer

A) against public policy. 
B) immoral. 
C) unconscionable. 
D) a crime.

Question 17

Wilma owes Jill $5,000.Jill assigns the claim to Andrew.Jill

Accepted Answer

A) must notify Wilma of the assignment immediately. 
B) must notify Wilma of the assignment within thirty days. 
C) must notify Wilma of the assignment to make the assignment effective. 
D) is not legally required to notify Wilma of the assignment.

Question 18

Banks may NOT assign their loan contracts to other firms.

Accepted Answer

A) True 
 B)False

Question 19

Joy and Kris enter into a contract for Kris to lay sod in Joy's yard for which she agrees to pay Kris.When Kris's schedule conflicts,she contacts Leza,to whom Kris "assigns all rights under the contract." Kris is

Accepted Answer

A) absolved of any liability under the contract. 
B) in breach of the contract with Joy. 
C) liable to Joy if Leza does not perform. 
D) liable to Leza for inducing a prohibited contract.

Question 20

An intended beneficiary can sue directly to enforce a promisor's promise.

Accepted Answer

A) True 
 B)False

Exam 15: Third Party Rights

Devon makes a contract with Edie that indirectly benefits Felipe.Neither Devon nor Edie intended this result.This is

A delegation relieves the party making it of the obligation to per?form.

In most cases,a contract that prohibits its assignment cannot be assigned.

There are no exceptions to the rule that any duty can be delegated.

Carol takes out an insurance policy on her car.Carol can assign her policy to a third party

Vicky contracts with Warren for the delivery of hospice services to benefit Xavier.This is

A third party's rights under a contract vest when the conditions for vesting are satisfied.

Assignment and delegation occur after the original contract is made.

A contract between Lee and Mary may not be assigned if it

A transfer of contract rights to a third party is a delegation.

No contract can prohibit delegation of the duties of the contract.

All that a delegator needs to do to make a delegation effective is to express an intention to make the delegation.

As long as a contract is personal in nature,all rights under the contract can be assigned.

It is legally necessary to notify the obligor of any assignment of rights to a third party.

Marco and Fred enter into a contract for the sale of Marco's apartment for which Fred agrees to pay him $100,000.Marco cannot prohibit Fred from transferring his right to the ownership of the apartment because such a prohibition is

Wilma owes Jill $5,000.Jill assigns the claim to Andrew.Jill

Banks may NOT assign their loan contracts to other firms.

Joy and Kris enter into a contract for Kris to lay sod in Joy's yard for which she agrees to pay Kris.When Kris's schedule conflicts,she contacts Leza,to whom Kris "assigns all rights under the contract." Kris is

An intended beneficiary can sue directly to enforce a promisor's promise.