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After Signing His Latest Contract, Professional Basketball Star Michael James

Question 13

Multiple Choice

After signing his latest contract, professional basketball star Michael James contracted with MacMansion Construction to build a $1 million home for his mother. Home developer Eric Muldoon purchased all of the lots surrounding the lot where James' mother's home would be built, figuring that the James house would increase the value of all of the real estate in the neighborhood. If MacMansion Construction fails to build the home, can Eric Muldoon sue MacMansion?


A) Yes, because he is an intended third-party beneficiary.
B) Yes, because he is an incidental beneficiary.
C) No, because he is an incidental beneficiary.
D) No, because he is an intended third-party beneficiary.

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