ARE THE FOLLOWING TRUE OR FALSE?

1. Under the modern rule, the transfer of both rights and duties under a contract is called an assignment.
2. As a general rule, an assignment of rights does not also create a delegation of duties unless the terms of the assignment specifically so provide.
3. As with the formation of all contracts, an assignment contract requires consideration in order to be enforceable
4. A novation is a previous agreement by the promisee to release the original promisor from liability in exchange for a third party's agreement to assume the promisor's duties.
5. Life insurance contracts give the insured the right to change the beneficiary only with the beneficiary's consent.
6. The "American Rule" concerning notice to the promisor of an assignment can be described as "first in time, first in right."

MULTIPLE CHOICE:

Examples of an implied guarantee imposed by law include:(Note - there may be more than one correct answer)

a.guaranty that the promisor is financially solvent.

b.guaranty that the assignor has good title to the rights assigned.

c.guaranty that the assigned claim is valid.

d.guaranty that the assignor knows of no impediments to the assignment.