A is corrent. The requirement is to identify the circumstances that would cause West not to be liable to Egan. Although the contract was originally between West, Inc. and Barton, West assigned its rights to Egan after Egan gave West consideration. If Egan subsequently releases Barton, then Egan cannot require West to be liable. Accordingly, this is the correct answer.
B is incorrect. An assignor (West in this case) cannot impede the rights of the assignee. If West breached the contract, then Egan’s right to receive performance from Barton under the contract is impaired.
C is incorrect. If the obligee (Barton) wrongfully pays the assignor (West), then the addignor is responsible to turn the payment over to the assignee (Egan).
D is incorrect. An assignor (West in this case) cannot impede the rights of the assignee. If West released Barton from the contract, then Egan’s rights are substantially impaired.
|
