Which Statement Most Accurately Describes Third Party Beneficiary Rights

question 18

Multiple Choice

Which statement most accurately describes third party beneficiary rights?

• A)A beneficiary may enforce a contract if the parties intended to benefit him and if enforcing the promise will satisfy a duty of the promisee to the beneficiary.
• B)If a promisee intended to make a gift to the beneficiary,the beneficiary may not enforce the contract.
• C)An intended third party beneficiary has no enforceable rights in a contract.
• D)Incidental beneficiaries have enforceable rights against both contracting parties.

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Definitions:

CPI

The Consumer Price Index, through a weighted average method, evaluates how the prices of a varied mix of consumer services and goods, such as medical care, food, and transportation, change over time.

Salary

Predetermined, regular payment made by an employer to an employee, often expressed as an annual sum.

Consumer Price Index

A metric that quantifies the average shift over time in the costs that urban residents incur for a specified set of consumer goods and services.

CPI

Consumer Price Index; a measure that examines the weighted average of prices of a basket of consumer goods and services, such as transportation, food, and medical care.