Under the Ultramares Ruling, in Order for Parties to Recover

question 30

Multiple Choice

Under the Ultramares ruling, in order for parties to recover for ordinary negligence they must be:

• A) in privity.
• B) members of a foreseen group.
• C) named in the contract.
• D) foreseeable.
• E) secondary beneficiaries.

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Definitions:

Cash Dividend

A cash dividend refers to the distribution of a portion of a company's profits to its shareholders as cash.

Common Stock

Equity shares that represent ownership in a corporation, giving shareholders voting rights and a share in the company's profits through dividends.

Journalize

The act of recording financial transactions in a company's ledger.

Cash Dividend

A payment made by a company out of its earnings to shareholders, usually in the form of cash.