If an Obligor Could Successfully Defend Against a Suit Brought

question 12

Multiple Choice

If an obligor could successfully defend against a suit brought by the assignor:

• A) the obligor will also prevail against the third-party beneficiary.
• B) the obligor will also prevail against the assignee.
• C) the obligor will also prevail against the incidental beneficiary.
• D) none of the above.

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Definitions:

Economic Climate

The overall state of the economic environment, characterized by factors such as growth rates, unemployment, inflation, and consumer confidence.

Conditions

Conditions include the specific requirements, terms, or situations that affect or determine the operation of agreements, policies, or actions.

Interest

The cost of borrowing money, typically expressed as an annual percentage of the loan amount.

Borrowed Funds

Money obtained through loans or credits that must be repaid over time, with interest, used for financing various activities or purchasing assets.