Sharon agrees to assume a debt owed by Tom's Guitars Inc. to United Funds Bank.The agreement is not in writing. To be enforceable under the "main purpose" rule,the promise must be for the benefit of

Question

Quizplus · Accepted Answer

The "main purpose" rule states that a promise to pay the debt of another must be primarily for the benefit of the promisor to be enforceable, even if the promise is not in writing. In this case, the promise is made by Sharon to assume a debt owed by Tom's Guitars, so the question is whose benefit the promise is primarily for. Since Sharon is the one assuming the debt, it is reasonable to assume that the promise is primarily for her own benefit, either because she wants to help Tom's Guitars stay afloat or because she sees a potential profit in doing so. Therefore, choice B is the best answer. Answers A, C, and D are incorrect because they do not take into account the "main purpose" rule and assume that the promise can be enforced regardless of whose benefit it is primarily for.

Sharon Agrees to Assume a Debt Owed by Tom's Guitars