Chapter 17 Quiz

Contract duties are not delegated--they are assigned.

False

Rights to receive funds cannot be assigned.

False

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

provided if Pico and Sven have different skill levels

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

True

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

True

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

True

Market Company and Nick enter into a contract to cut and trim the landscaping around Market's building before a meeting of the company's sales staff. When Nick's schedule conflicts, he asks Otis to do the cutting and trimming. This transfer of duties is___________.

a delegation

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

a third party beneficiary contract

Faye makes and sells furniture. Faye and Glen enter into a contract for the delivery of Faye's products to Glen's Gear retail locations for which he agrees to pay the invoiced price. Faye transfers her right to payment under the contract to Haulers Trucking Company. This transfer is___________.

an assignment

Laramie contracts to provide cattle-herding services to Miles for $1,400 per month. Laramie cannot transfer this duty__________.

without continuing to be potentially liable