Bill and Cody Agree to Guarantee Wyatt's Debt

question 22

Multiple Choice

Bill and Cody agree to guarantee Wyatt's debt.Bill's maximum liabil?ity is $60,000,and Cody's is $40,000.Wyatt owes $40,000 and is in default.Bill pays the creditor the entire amount.In the ab?sence of an agree?ment to the contrary,Bill can recover from Cody

• A)0.
• B)$16,000.
• C)$20,000.
• D)$40,000.

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Definitions:

Reservations

In the context of American history, these are tracts of land managed by a Native American tribe under the U.S. Bureau of Indian Affairs, where the federal government recognizes the tribe's sovereignty to a degree.

Antifederalists

Opponents of the ratification of the U.S. Constitution, who advocated for a decentralized governmental structure to grant more power to state governments.

Constitutional Convention

A constitutional convention is a formal gathering of delegates for the purpose of drafting or amending a constitution.

National Government

The organization through which political authority is exercised at the national level, responsible for creating and enforcing laws, and managing the affairs of a nation.