Mr Zink Hired Bruce Dorne to Create a Payroll Program

question 159

Multiple Choice

Mr. Zink hired Bruce Dorne to create a payroll program for his business. Bruce was to be paid $4000 for the program. When Bruce was half finished, a creditor to whom he owed $2000 pressed so hard for payment that Bruce assigned him $2000 of the contract price, an amount he felt he had earned already. The creditor, Mr. Pressing, gave written notice that very day to Mr. Zink. On these facts, which of the following is true? (Read each statement separately.)

• A) Mr. Zink must pay $2000 to Mr. Pressing on the day that notice was given, because at that time Bruce had done half of the work on the $4000 contract.
• B) This assignment is a statutory assignment, not an equitable assignment.
• C) This type of assignment is not recognized by the courts because it is an assignment of contractual obligations.
• D) Mr. Pressing is entitled to $2000 from Mr. Zink when the contract is completed, if at least that much is owed to Bruce by Zink at that time.
• E) If Bruce bungled the assignment and the court determined that nothing was owed to him, Pressing could still get $2000 from Zink.

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Definitions:

Labour Climate

The overall environment and conditions affecting labor relations, including workers' attitudes, union activities, and employer-employee negotiations.

Taxes

Mandatory financial charges imposed by a government on individuals, businesses, and transactions to fund public expenditures.

Wages

Payments made to employees for their labor or services, typically calculated on an hourly, daily, or piecework basis.