Cengage Advantage Books: Business Law 9th Edition by Arnold Goldman ,William Sigismond

Exercise 17

On June 10, The First Bank of Georgia lent RYCOM Construction Company $50,000. RYCOM assigned its right to receive $30,000 due for work performed for Marlan, a contractor. It also assigned its right to receive $20,000 from Pool, another contractor, who was thinking of hiring RYCOM in the near future to complete a $20,000 project. The First Bank of Georgia notified both Marlan and Pool on June 15. What are the rights of The First Bank of Georgia in each of the following situations:
a. Marlan pays $30,000 directly to RYCOM Construction on July 15.
b. Pool fails to respond to the notice sent by The First Bank of Georgia.