A Third-Party Beneficiary Is One Which

question 99

Multiple Choice

A third-party beneficiary is one which

• A) has failed to establish legal standing before the court.
• B) does not have privity of contract and is unknown to the contracting parties.
• C) does not have privity of contract, but is known to the contracting parties and intended to benefit under the contract.
• D) may establish legal standing before the court after a contract has been consummated.

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Definitions:

Ledger Account

A record that keeps track of all the financial transactions pertaining to a specific account, forming part of the general ledger.

Transactions

The actions carried out between two or more parties that involve the exchange of goods, services, or financial assets.

Accounts Payable

Liabilities or money owed to suppliers or creditors for goods and services received but not yet paid for.

Service Revenue

Income earned by a company for the services it has provided to its customers.