Which of the Following Statements Is Correct Regarding the Assignment

question 64

Multiple Choice

Which of the following statements is correct regarding the assignment of a future right?

• A) Usually, a person can assign a future right.
• B) Usually, a person can assign a future right in equity.
• C) Usually, a person can conditionally assign a future right.
• D) Usually, a person can conditionally assign a future right to goods, but not a future right to services.
• E) Usually, a person cannot assign a future right.

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Definitions:

Negotiated

Reached through discussion and compromise between parties, typically resulting in a formal agreement or contract.

Authorized

Having been given official permission or approval to perform a certain action or access certain information.

Shelter Principle

In commercial law, a rule that allows a person who acquires goods in good faith to retain them, even if the sale was not authorized by the owner.

HDC Status

Holder in Due Course Status, which is a legal term that provides certain protections to the holder of a negotiable instrument from claims and defenses that could be raised by prior parties.