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

Question

Quizplus · Accepted Answer

When Nag transfers the right to payment under the contract to Omni Artists, Nag's original right to the payment is extinguished because the right has been assigned to another party (Omni Artists). This means Nag no longer holds the right to payment; instead, Omni Artists now holds that right.