Paolho and Roth agree that Paolho will fix Roth's boat dock in exchange for $5,000. Paolho spends half of the amount due under the contract to acquire the materials for the job from Sav-U Economy Lumber. Sav-U is

Question

Paolho and Roth agree that Paolho will fix Roth's boat dock in exchange for $5,000. Paolho spends half of the amount due under the contract to acquire the materials for the job from Sav-U Economy Lumber. Sav-U is​

Quizplus · Accepted Answer

Sav-U Economy Lumber is an incidental beneficiary because Paolho's agreement with Roth did not intend to confer a benefit upon Sav-U. The purchase of materials from Sav-U was necessary for Paolho to complete his obligation to Roth under their contract. However, Sav-U did not have a direct contractual relationship with either Paolho or Roth.

Paolho and Roth Agree That Paolho Will Fix Roth's Boat