True/False
Indicate whether the
statement is true or false.
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1.
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A Third Party Creditor Beneficiary can sue the
promisor of the contract for violating contract law.
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2.
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Assignment only covers rights, not
duties.
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3.
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A Third Party Creditor Beneficiary’s rights
vest on his or her knowing of the contract.
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4.
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The purpose of the third party beneficiary contract
is to benefit a person not a party to the contract.
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5.
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Novation is another term for assignment of
rights.
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Multiple Choice
Identify the
choice that best completes the statement or answers the question.
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6.
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An assignment of personal services is
a. | Illegal | c. | Permitted with all the parties’ consent | b. | Generally permitted | d. | Is never
permitted |
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7.
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Except for third party contracts, contracts always
have only two parties.
a. | Always true | c. | Sometimes true | b. | Never
true | d. | None of the above |
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8.
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Selling your textbook to pay off a student loan
is
a. | A third party creditor beneficiary
contract | c. | A third party donee beneficiary
contract | b. | Foolish | d. | An
assignment |
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9.
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A novation is an example of
a. | A delegation | c. | A
license | b. | A third party beneficiary
contract | d. | An assignment |
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10.
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A gratuitous assignment does not become irrevocable
by
a. | A writing | c. | A
promise | b. | A token chose | d. | A
novation |
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