The ________ States That If the Main Purpose of a Transaction

question 43

Multiple Choice

The ________ states that if the main purpose of a transaction and an oral collateral contract is to provide pecuniary benefit to the guarantor, the collateral contract does not have to be in writing to be enforced.

• A) merger clause
• B) leading object exception
• C) collateral contract rule
• D) parol evidence rule

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Definitions:

Cyclical Model

A representation of a process that repeats in cycles, often used to describe patterns that occur over time in a predictable sequence.

Internal Conflict

A psychological struggle within the self, arising from opposing demands or impulses.

Unity

The state of being unified or joined as a whole, especially among members of a group, fostering a sense of solidarity and common purpose.

Cockpit Crew

The personnel responsible for operating the flight controls and systems of an aircraft, typically including pilots and co-pilots.