Ground-Up Construction Corporation has a right of action against Heav-Equip, Inc. Ground-Up Construction merges with Investors Development, Inc., with Investors absorbing Ground-Up. After the merger, Ground-Up's right of action against Heav-Equip can be exercised by
A) Ground-Up.
B) Investors.
C) Heav-Equip.
D) no one.

Question

Ground-Up Construction Corporation has a right of action against Heav-Equip, Inc. Ground-Up Construction merges with Investors Development, Inc., with Investors absorbing Ground-Up. After the merger, Ground-Up's right of action against Heav-Equip can be exercised by​
A) ​Ground-Up.
B) ​Investors.
C) ​Heav-Equip.
D) ​no one.

Quizplus · Accepted Answer

After the merger, Investors Development, Inc. absorbs Ground-Up Construction Corporation, and as a result, Investors now owns Ground-Up's assets, including the right of action against Heav-Equip, Inc. Therefore, Investors has the right to exercise the claim against Heav-Equip, Inc.

Ground-Up Construction Corporation Has a Right of Action Against Heav-Equip