With Regard to the Law Governing Privity of Contract and Assignment

question 52

Multiple Choice

With regard to the law governing privity of contract and assignment, which of the following is false?

• A) Assignments are modifications of the Privity of Contract rule since they do allow a stranger to the contract to receive benefits from the contract.
• B) A party to a contract for services can assign both his contractual obligations and his contractual rights.
• C) A statutory assignment is easier to enforce than an equitable assignment.
• D) The Privity of Contract Rule states that only the parties to the contract have rights and obligations under the contract.
• E) Novation refers to the ending of the original contract and entering into a new contract with changes in terms, such as substituting one party for another.

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Definitions:

Hypertensive Crisis

A medical condition characterized by a severe and rapid increase in blood pressure that can lead to stroke, heart attack, or other serious complications.

Inhibits

To restrain or hold back an action, process, or growth, often referring to biochemical or psychological reactions.

Cardiogenic Shock

A life-threatening condition resulting from inadequate blood flow due to the heart’s inability to pump effectively, often after a severe heart attack.

Hypotensive Shock

A life-threatening condition where there is not enough blood flow throughout the body, often due to severe low blood pressure, leading to organ failure.