Difference in intended-incidental third party beneficiary

Assignment Help Business Economics

Reference no: EM13895945

A professor owned a home next door to a very dilapidated, neglected home. John Cataldo purchased the home next door and made a contract with Wizard Home Improvements for a complete renovation of the property. The professor was delighted because the improvement of the Cataldo home was upgrading the neighborhood and raising the value of the professor's home.

After making the last required payment on the contract, John Cataldo became seriously ill and ultimately was taken to a nursing home for care.

When Wizard learned of Cataldo's illness and confinement, Wizard ceased work on the Cataldo home. Because the outside renovation work had not been completed, the premises began to return to its former rundown condition. The professor ultimately sued Wizard as a third-party beneficiary of the contract between Cataldo and Wizard.

Do you think the professor will be successful in his lawsuit against Wizard? Explain in terms of third-party beneficiary law. What is the difference between an "intended" third party beneficiary and an "incidental" third party beneficiary? Who has enforceable rights under the contract?

I would also like you to comment on the case found on page 394 in the Case Summary in your Online Course Resource. Do you agree with the court's holding? How would you feel if you were a hotel guest that was bitten by a spider?

Reference no: EM13895945

Questions Cloud

Have the foreign manufacturers used marketing : Think of some foreign products that are marketed in the United States. Have the foreign manufacturers used marketing that is sensitive to U.S. culture? Provide some specific examples.

What will happen to total tax revenue : What will happen to AD and total income if G is reduced, ceteris paribus? If tax rates stay the same, what will happen to total tax revenue?

Inflation is forecasted to remain consistent : Inflation is forecasted to remain consistent with its target over the next 1-2 years. Inflation arises when:

An average production process time of forty days : Pretty Lady Cosmetic Products has an average production process time of forty days. Finished goods are kept on hand for an average of fifteen days before they are sold. Accounts receivable are outstand- ing an average of thirty-five days, and the fir..

Difference in intended-incidental third party beneficiary : A professor owned a home next door to a very dilapidated, neglected home. John Cataldo purchased the home next door and made a contract with Wizard Home Improvements for a complete renovation of the property. Do you think the professor will be succes..

The same characteristics of a companyexplain : Are short-term creditors, long-term creditors, and stockholders interested primarily in the same characteristics of a company? Explain

Duties and responsibility of the trustee : Explain one of the two sections, including what the section requires and why you feel its requirements had to be put into law by the federal government.

What is a contra-liability account mean in financial account : What is a contra-liability account mean in financial accounting?

What is a contra asset account? define, and give example : What is a contra asset account? Define, and give example/

User Account

All Pages