A Clause in a Contract That States That a Promoter

question 56

Multiple Choice

A clause in a contract that states that a promoter of a contract will cease to be liable under the contract once a corporation has adopted it,is called:

• A) An automatic novation clause
• B) An automatic agency clause
• C) An incorporation clause
• D) A bylaws clause

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Definitions:

Relaxed

A state of being free from tension and anxiety.

Easygoing

A personality trait characterized by a relaxed, stress-free approach to life and an adaptable, non-confrontational attitude.

Human Immunodeficiency Virus

A virus that attacks the immune system, the body's natural defense against illness, leading to the disease AIDS if not treated.

AIDS

Acquired Immunodeficiency Syndrome, a chronic, potentially life-threatening condition caused by the human immunodeficiency virus (HIV).