A Rock Group Assigns Its Payment Under a Performance Contract

question 20

Multiple Choice

A rock group assigns its payment under a performance contract to the Costume Shop,a business that has supplied the group with outrageous stage outfits,and to which the group owes a great sum of money.This is a(n)

• A)valid assignment because of the rule of freedom to contract.
• B)valid assignment because this is a simple transfer of the right to receive money.
• C)invalid assignment because it increases the burden of the payor.
• D)invalid assignment because this is a personal service contract.