logo
Ask Question

Asked by Justin Shaughnessy on Apr 24, 2024

verifed

Verified

Basic Carpet contracts to install stain-resistant carpet in Alice's house for $6,000.Basic Carpet then assigns the right to receive payment from Alice to Home Finance Company.When payment comes due,Alice refuses to pay more than $2,000,asserting that the installed carpet was not stain-resistant.Home Finance asserts that Alice must pay $6,000,since Home Finance was not responsible for installing the carpet.Alice decides to sue Basic Carpet.Discuss the case.

Stain-Resistant

A characteristic of materials or surfaces that prevents or reduces staining when exposed to potential stain-causing substances.

Carpet Installation

The process of fitting and securing a carpet to the floor of a building or room.

Home Finance

involves the process of providing loans or other financial products to individuals to purchase, build, renovate, or refinance residential properties.

  • Examine the entitlements of contractual parties when there is a transfer of rights or an assignment of responsibilities.
  • Understand the legal obligations and consequences associated with the transference of rights or responsibilities in a contract.
verifed

Verified Answer

RK
Rianee Kaizen5 days ago
Final Answer :
The assignee "steps into the shoes" of the assignor,which means that all defenses the obligor may have against the assignor's claims may be asserted against the assignee.Hence,Alice may assert her defenses against Home Finance.Also,Basic Carpet's claims against Alice now belong to Home Finance Company.

Related questions

Henry Borrows Money from Commerce Bank to Purchase a House ...

Norbert Receives an Official-Looking Written Notice Which States That Mountain ...

Martin Entered into a Written Contract to Sell Anna His ...

Jo Is Duly Notified That Her Mortgage with Fund All ...

Claudia Contracts with Friendly Paving Co ...