A creditor beneficiary is any third person who receives a benefit from a contract even though that person's benefit is not the reason the contract was made.

Question

Quizplus · Accepted Answer

A creditor beneficiary is a third party who benefits from a contract because the contract's performance fulfills a duty or obligation owed to them by one of the parties involved in the contract.

A Creditor Beneficiary Is Any Third Person Who Receives a Benefit