Alfred Is Worried About a Contract That May Be Breached

question 33

Multiple Choice

Alfred is worried about a contract that may be breached by the other party.  He is discussing it with his friend, Carl.  Carl tells Alfred , "The law generally restricts the time within which an action can be brought by either party to a contract." Carl's statement is:

• A) false.
• B) true because of statutes of limitations.
• C) true because of the law of repudiation.
• D) true because of covenants not to sue.

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Definitions:

Venture Capital Funds

Pools of capital that are allocated to invest in high-growth potential startups and emerging companies.

General Partners

Individuals who participate in the management of a partnership and have unlimited personal liability for the debts and obligations of the partnership.

Limited Partners

Investors in a partnership who are only liable for the debts or losses of the business up to the amount they have invested, without involvement in day-to-day management.

Informal Investor

An individual who provides financial backing for small startups or entrepreneurs, often a friend, family member, or business associate, outside of the formal venture capital or banking framework.