BUSINESS ADMINISTRATION
BUSINESS LAW
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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is still legally obligated and responsible for proper performance even though someone else may actually do the work
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must post a bond to assure proper performance of the contract
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has no further obligation under the contract
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none of these
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Detailed explanation-1: -According to Section 182, of the Indian Contract Act, 1872, a principal is a person who delegates authority to another person namely, the agent.
Detailed explanation-2: -Delegation of duties exist when a party involved in a contract arranges to have a third party execute some of the duties spelled out in the contract.
Detailed explanation-3: -the obligee must accept performance from the delegatee. A notice of assignment goes into effect as soon as the: a. notice of assignment is received by the obligor.
Detailed explanation-4: -The delegation of a duty still leaves the delegator responsible for the performance of the duty. An incidental beneficiary has no right to enforce a contract. An intended donee beneficiary may enforce the contract only against the promisor.
Detailed explanation-5: -Three parties are concerned with this act-the party who had incurred the obligation to perform under the contract is called the delegator; the party who assumes the responsibility of performing this duty is called the delegatee; and the party to whom this performance is owed is called the obligee.