A. Rico sells his car to Nate. A provision in the contract between Rico and Nate

Question

A. Rico sells his car to Nate.   A provision in the contract between Rico and Nate states that Nate is to pay the purchase price to Rico's daughter, Anna, in 12 monthly installments.  Which of the following is true?

Anna is a party to the contract and could not sue to enforce it if Nate failed to pay

Anna is an incidental beneficiary of the contract and could sue to enforce it if Nate failed to pay

Anna is an intended beneficiary of the contract and could not sue to enforce it if Nate failed to pay

Anna is an intended beneficiary of the contract and could sue to enforce it if Nate failed to pay

Anna is an incidental beneficiary of the contract and could not sue to enforce it if Nate failed to pay

B. Downtown Arena has a contract with Bruno Mars for a performance next June. Melanie's Ice Cream Shoppe, located near the Downtown Arena, expects to get a lot of extra business when Bruno Mars comes to town.   What is true about Melanie's Ice Cream Shoppe?

a. Melanie's Ice Cream Shoppe is an intended beneficiary of the contract between Downtown Arena and Bruno Mars and could sue on the contract if Bruno Mars fails to perform

b. Melanie's Ice Cream Shoppe is an incidental beneficiary of the contract between Downtown Arena and Bruno Mars and could not sue on the contract if Bruno Mars fails to perform

c. Melanie's Ice Cream Shoppe is an incidental beneficiary of the contract between Downtown Arena and Bruno Mars and could sue on the contract if Bruno Mars fails to perform

d. Melanie's Ice Cream Shoppe is an intended beneficiary of the contract between Downtown Arena and Bruno Mars and could not sue on the contract if Bruno Mars fails to perform

e. Melanie's Ice Cream Shoppe is a party to the contract and could sue on the contract if Bruno Mars fails to perform.

C. Which kind of third party beneficiary can sue to enforce a contract?

any beneficiary under a contract may sue

b. only a party to a contract may sue

intended beneficiary

contract promissor

incidental beneficiary

Anna is a party to the contract and could not sue to enforce it if Nate failed to pay

Anna is an incidental beneficiary of the contract and could sue to enforce it if Nate failed to pay

Anna is an intended beneficiary of the contract and could not sue to enforce it if Nate failed to pay

Anna is an intended beneficiary of the contract and could sue to enforce it if Nate failed to pay

Anna is an incidental beneficiary of the contract and could not sue to enforce it if Nate failed to pay

Explanation / Answer

1. Anna is an intended beneficiary of the contract and could sue to enforce it if Nate failed to pay

Yes, Anna is an intended beneficiary in the contract and he intended beneficiary has the right to sue in order to enforce the contract.

2. b. Melanie's Ice Cream Shoppe is an incidental beneficiary of the contract between Downtown Arena and Bruno Mars and could not sue on the contract if Bruno Mars fails to perform

Melanie's Ice Cream shoppe is an incidental beneficiary and does not have the right to sue Bruno Mars because there is no formal contract and there is just a incidence based in which the organization is expecting more business.

3. c. Intended beneficiary

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