Music Masters Inc. enters into a contract to pay Nagi for a dozen original songs. Nagi transfers the right to payment under the contract to Omni Artists. After the transfer, Nagi's contract right to the payment is
A) unaffected.
B) extinguished.
C) conditional.
D) secondary.

Question

Quizplus · Accepted Answer

When Nagi transfers the right to payment under the contract to Omni Artists, Nagi's contract right to the payment is extinguished. This means that Nagi no longer has any claim to the payment and Omni Artists becomes the rightful recipient of the payment.