Which of the Following Statements Is True of the Recovery

question 24

Multiple Choice

Which of the following statements is true of the recovery by a creditor on the theory that the creditor was a third-party beneficiary of the contract employing the accountant?

• A)To recover the creditor must show that only he stood to benefit from the contract.
• B)To recover the creditor must show that the accountant was aware of the fact that the audit was ordered to satisfy the demand of the creditor.
• C)To recover the creditor must prove that the accountant performed the work in a negligent fashion,to the injury of the creditor.
• D)The creditor is prohibited by law,in most states,from bringing such a suit.

---

Definitions:

Nuclear Waste

Radioactive materials remaining after they have been used in generating nuclear energy or other applications of nuclear technology.

Criminal Intruder

An individual who unlawfully enters a space with the intent to commit a criminal offense.

Proximate Cause

A legal concept that relates the actions of a party to the consequences faced by another, establishing a direct link between the conduct and the injury.

Actual Cause

Also known as "cause in fact," it refers to a direct action that resulted in harm or damage, forming a necessary link between the injury and the defendant's actions.