Darrell Owns a Parcel of Land That Is Encumbered by a Mortgage

question 41

Multiple Choice

Darrell owns a parcel of land that is encumbered by a mortgage held by the First National Bank.Darrell agrees to sell the land to Paul for $50,000.Darrell and Paul together go to the First National Bank to discuss the sale and purchase with the banker.Darrell, Paul, and the banker sign an agreement stating that Paul will assume the mortgage and that Darrell will be discharged from all further liability on the mortgage.In this case:

• A) the bank can collect from Darrell if Paul defaults.
• B) the bank is a third party donee beneficiary.
• C) Darrell is a third party beneficiary of the agreement between Paul and the bank.
• D) the agreement among the three is a novation.

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Definitions:

Input Module

A component of a PLC or control system responsible for receiving and processing signals from external devices or sensors.

Cross-Reference Function

A feature in software or documentation that allows users to follow references to other parts of the document or dataset.

Transition History

A record of the sequence of states or conditions an application or system has passed through over time.