Question 1

An intended third party beneficiary cannot enforce the contract against the original parties once the rights of the third party have vested.

Accepted Answer

A) True 
 B)False

Question 2

Both intended and incidental beneficiaries acquire legal rights in a contract.

Accepted Answer

A) True 
 B)False

Question 3

D'Alemberte contracts with Elias to render personal nursing services for the benefit of Federica. This is

Accepted Answer

A)   ​a delegation.
B)   ​an assignment.
C)   ​a third party beneficiary contract.
D)   ​an alienation.E) None of the above
F) A) and B) C

Question 4

Ilene and Jerry enter into a contract under which Ilene agrees to provide grounds keeping services for Jerry's Family Fun Center. Under an anti-delegation clause, the contract can prohibit and prevent the transfer of

Accepted Answer

A)   ​only duties that are personal in nature.
B)   ​only duties that are impersonal in nature.
C)   ​no duties under the contract.
D)   ​all duties under the contract.E) B) and C)
F) A) and D)

Question 5

Alienation is a transfer of land ownership.

Accepted Answer

A) True 
 B)False

Question 6

Eli owes Martin $10,000. Martin assigns the claim to Jack. Jack does not notify Eli of the assignment. A week later, Martin assigns the same claim to Allen. Allen immediately notifies Eli of the assignment. Allen

Accepted Answer

A)   ​has priority to payment in all states.
B)   ​has priority to payment in states that follow the English rule.
C)   ​does not have priority to payment in any state.
D)   ​has priority to payment in most states.E) B) and C)
F) A) and B)

Question 7

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

Accepted Answer

A) True 
 B)False

Question 8

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

Accepted Answer

A) True 
 B)False

Question 9

A right cannot be assigned if the assignment will significantly alter the risks or duties of the obligor.

Accepted Answer

A) True 
 B)False

Question 10

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

Accepted Answer

A) True 
 B)False

Question 11

All rights can be assigned with no exceptions.

Accepted Answer

A) True 
 B)False

Question 12

Privity of contract establishes the basic concept that third parties have no rights in contracts to which they are not parties.

Accepted Answer

A) True 
 B)False

Question 13

Fact Pattern 17-1
Four-Square Construction Company enters into a contract with Ben to remodel Carol's Home Store, using products from Delta Building Supplies.
-Refer to Fact Pattern 17-1. Halfway through the project, Four-Square refuses to finish the job. The contract can be enforced against Four-Square by

Accepted Answer

A)   ​Ben only.
B)   ​Carol's only.
C)   ​Ben or Carol's.
D)   ​none of the choices.E) A) and D)
F) None of the above C

Question 14

Rachel and Stuart enter into a contract for the sale of Rachel's textbook at the end of the fall semester for which Stuart agrees to pay $75. Rachel wants to transfer her right to payment for the book to Terry. This transfer is

Accepted Answer

A)   ​a delegation.
B)   ​an assignment.
C)   ​an alienation.
D)   ​a third-party beneficiary contract.E) B) and D)
F) A) and B)

Question 15

​Pico, a famous chef, agrees to give ten culinary lessons to Rhoda in exchange for $1,200. Pico's attempt to transfer his contract duties to Sven, an unknown sous-chef, will probably be

Accepted Answer

A)   ​permitted because contracts may be freely delegated.
B)   ​permitted because the contract is concerned with cookery.
C)   ​prohibited because contracts may not be freely delegated.
D)   ​prohibited if Pico and Sven have different skill levels.E) None of the above
F) A) and B)

Question 16

A delegation relieves the party making it of the obligation to perform.

Accepted Answer

A) True 
 B)False

Question 17

Merry Music Inc. and Nina enter into a contract for Nina to write six songs for which Merry Music agrees to pay her. Nina transfers her right to payment under the contract to Omni Artists Agency. In the transfer of rights, Nina is

Accepted Answer

A)   ​a delegator.
B)   ​an assignor.
C)   ​an obligor.
D)   ​a third party beneficiary.E) All of the above
F) B) and D) B

Question 18

A third party's right to control the details of performance of a contract indicates that the third party is an intended beneficiary.

Accepted Answer

A) True 
 B)False

Question 19

An incidental third party beneficiary cannot sue to enforce the contract because the benefit is unintentional.

Accepted Answer

A) True 
 B)False

Question 20

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

Accepted Answer

A) True 
 B)False

Exam 17: Third Party Rights

An intended third party beneficiary cannot enforce the contract against the original parties once the rights of the third party have vested.

Correct Answer
verified

Both intended and incidental beneficiaries acquire legal rights in a contract.

Correct Answer
verified

D'Alemberte contracts with Elias to render personal nursing services for the benefit of Federica. This is

Correct Answer
verified
C

Ilene and Jerry enter into a contract under which Ilene agrees to provide grounds keeping services for Jerry's Family Fun Center. Under an anti-delegation clause, the contract can prohibit and prevent the transfer of

Correct Answer
verified

Alienation is a transfer of land ownership.

Correct Answer
verified

Eli owes Martin $10,000. Martin assigns the claim to Jack. Jack does not notify Eli of the assignment. A week later, Martin assigns the same claim to Allen. Allen immediately notifies Eli of the assignment. Allen

Correct Answer
verified

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

Correct Answer
verified

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

Correct Answer
verified

A right cannot be assigned if the assignment will significantly alter the risks or duties of the obligor.

Correct Answer
verified

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

Correct Answer
verified

All rights can be assigned with no exceptions.

Correct Answer
verified

Privity of contract establishes the basic concept that third parties have no rights in contracts to which they are not parties.

Correct Answer
verified

Correct Answer
verified
C

Rachel and Stuart enter into a contract for the sale of Rachel's textbook at the end of the fall semester for which Stuart agrees to pay $75. Rachel wants to transfer her right to payment for the book to Terry. This transfer is

Correct Answer
verified

Pico, a famous chef, agrees to give ten culinary lessons to Rhoda in exchange for $1,200. Pico's attempt to transfer his contract duties to Sven, an unknown sous-chef, will probably be

Correct Answer
verified

A delegation relieves the party making it of the obligation to perform.

Correct Answer
verified

Merry Music Inc. and Nina enter into a contract for Nina to write six songs for which Merry Music agrees to pay her. Nina transfers her right to payment under the contract to Omni Artists Agency. In the transfer of rights, Nina is

Correct Answer
verified
B

A third party's right to control the details of performance of a contract indicates that the third party is an intended beneficiary.

Correct Answer
verified

An incidental third party beneficiary cannot sue to enforce the contract because the benefit is unintentional.

Correct Answer
verified

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

Correct Answer
verified

Exam 17: Third Party Rights

An intended third party beneficiary cannot enforce the contract against the original parties once the rights of the third party have vested.

Correct AnswerverifiedShow Answer

Both intended and incidental beneficiaries acquire legal rights in a contract.

Correct AnswerverifiedShow Answer

D'Alemberte contracts with Elias to render personal nursing services for the benefit of Federica. This is

Correct AnswerverifiedC

Ilene and Jerry enter into a contract under which Ilene agrees to provide grounds keeping services for Jerry's Family Fun Center. Under an anti-delegation clause, the contract can prohibit and prevent the transfer of

Correct AnswerverifiedShow Answer

Alienation is a transfer of land ownership.

Correct AnswerverifiedShow Answer

Eli owes Martin $10,000. Martin assigns the claim to Jack. Jack does not notify Eli of the assignment. A week later, Martin assigns the same claim to Allen. Allen immediately notifies Eli of the assignment. Allen

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

A right cannot be assigned if the assignment will significantly alter the risks or duties of the obligor.

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

All rights can be assigned with no exceptions.

Correct AnswerverifiedShow Answer

Privity of contract establishes the basic concept that third parties have no rights in contracts to which they are not parties.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedC

Rachel and Stuart enter into a contract for the sale of Rachel's textbook at the end of the fall semester for which Stuart agrees to pay $75. Rachel wants to transfer her right to payment for the book to Terry. This transfer is

Correct AnswerverifiedShow Answer

​Pico, a famous chef, agrees to give ten culinary lessons to Rhoda in exchange for $1,200. Pico's attempt to transfer his contract duties to Sven, an unknown sous-chef, will probably be

Correct AnswerverifiedShow Answer

A delegation relieves the party making it of the obligation to perform.

Correct AnswerverifiedShow Answer

Merry Music Inc. and Nina enter into a contract for Nina to write six songs for which Merry Music agrees to pay her. Nina transfers her right to payment under the contract to Omni Artists Agency. In the transfer of rights, Nina is

Correct AnswerverifiedB

A third party's right to control the details of performance of a contract indicates that the third party is an intended beneficiary.

Correct AnswerverifiedShow Answer

An incidental third party beneficiary cannot sue to enforce the contract because the benefit is unintentional.

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

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C

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C

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Pico, a famous chef, agrees to give ten culinary lessons to Rhoda in exchange for $1,200. Pico's attempt to transfer his contract duties to Sven, an unknown sous-chef, will probably be

Correct Answer
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B

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