In a Third-Party Beneficiary Contract, the Third Party's Rights Arise

question 41

True/False

In a third-party beneficiary contract, the third party's rights arise at the time the contract is formed.

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Definitions:

Pension Plans

Financial programs established by employers or governments to provide income to employees after retirement.

Corporate Restructuring

The process of reorganizing the structure of a corporation to increase profitability, efficiency, or adapt to a changing environment.

Demotion

A reduction in rank, position, or status of an employee within an organization.

Reducing Headcount

A strategy used by businesses to lower expenses by decreasing the number of employees through layoffs, attrition, or retirements.