Rene Contracts with Scot to Pay Him $5,000 for Repairs

question 25

Multiple Choice

Rene contracts with Scot to pay him $5,000 for repairs to Rene's lake cabin. After Scot performs, Rene tells him that she cannot pay him in full immediately. They sign an agreement in which Rene promises to pay $2,500 now instead of $5,000 later. This is

• A)a mutual agreement to rescind.
• B)an accord and satisfaction.
• C)a novation.
• D)specific performance.

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Definitions:

Power-Balancing Tactics

Strategies used by individuals or groups within organizations to equalize power distribution and reduce power disparities.

Coercive Power

The power to force someone to do something by threatening, punishing, or using other forms of pressure.

Legitimate Power

The power a person receives as a result of their position in the formal hierarchy of an organization.

Referent Power

A form of influence based on the charisma and interpersonal appeal of the power-holder, rather than on formal positions or commands.