Fact Pattern 16-1 (Questions 18-19 Apply)

question 56

Multiple Choice

Fact Pattern 16-1 (Questions 18-19 apply)
Internet Cafes, Inc., contracts to buy all of its requirements for coffee, at a minimum of 1 million pounds per year, from Java Corporation for six years. After three years, Internet tells Java that it plans to sell its company to Kwik Eateries, Inc. Kwik refuses to assure Java that it will continue Internet's contract.
-Refer to Fact Pattern 16-1.Java can

• A) assign its rights under the contract but cannot terminate it.
• B) do nothing.
• C) suspend performance under the contract until Java is fully paid.
• D) terminate the contract and seek damages.

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Definitions:

Survivors Insurance

A form of social security benefit that provides financial support to the family members or dependents of a deceased worker.

Intergenerational Income Transfer

Financial assets or wealth transferred from one generation to another, impacting the economic stability and opportunities of the recipient generation.

Compulsory Retirement

The mandatory cessation of employment for individuals once they reach a certain age set by an employer or the government.

Income Program

A government or institutional initiative designed to provide monetary assistance to individuals or families in need.