Examlex

Solved

A. What Is a Third Party Beneficiary

question 8

Essay

a. What is a third party beneficiary?
b. Distinguish between the following types of third party beneficiaries: creditor beneficiary; donee beneficiary; intended beneficiary, incidental beneficiary. Can all third parties that benefit from a contract sue to enforce rights under the contract? Explain.


Definitions:

Tobin's Separation Property

A principle in investment theory that suggests the investment decision can be separated from the financing decision, primarily developed by James Tobin.

Risk Aversion

The inclination to avoid taking risks, preferring safety over potential higher returns.

Optimal Risky Portfolio

A portfolio that offers the highest expected return for a given level of risk.

Systematic Variance

The portion of a security's return variance that is attributable to macroeconomic factors and cannot be diversified away.

Related Questions