In Determining Whether a Person Is an Incidental or Intended

question 11

Multiple Choice

In determining whether a person is an incidental or intended beneficiary,which of the following do courts consider?

• A)The courts ask if a reasonable person in the position of the party in question would believe the contracting parties intended to benefit the party in question.
• B)The courts ask if the party in question paid something for the rights.
• C)The courts ask if it is substantially certain that the contracting parties intended to benefit the party in question.
• D)The courts ask if the party in question paid at least $500 for the rights.
• E)The courts ask if it can be proven beyond a reasonable doubt that the contracting parties intended to benefit the party in question.

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Definitions:

Renminbi

The official currency of the People's Republic of China, also known as the yuan in its unit designation.

FX Swaps

A financial agreement where two parties exchange currencies at a specified rate for a certain period, often used to hedge currency risks.

Spot Transaction

A financial contract for the immediate purchase or sale of a commodity, currency, or other asset, with delivery taking place immediately or within a short period.

Forward Transaction

A financial agreement to buy or sell an asset at a specified future date and price.