Bruce told Ewen that he would be willing to pay a high rate of interest for a two-month loan of $1000.Ewen agreed to lend him this amount at an annual rate of 25 percent,repayable June 14.Bruce agreed to these terms.Meanwhile,Bruce had recently completed some plumbing work for Martinson for which he was owed $2000.If Bruce failed to pay Ewen on June 14,which of the following is true?
A) Ewen could sue Martinson for violation (breach) of the contract.
B) Ewen could execute against Bruce even if he had not obtained judgment against him.
C) Ewen could serve Martinson with a garnishing order after obtaining judgment commanding him to pay the money owed to Bruce into court if the money had not yet been paid to Bruce.
D) If Ewen obtained a judgment against Bruce, he could compel him to be examined about Martinson's income, property, and debts.
E) Ewen does not have to wait to obtain a judgment before executing against Bruce's assets.

Question

Quizplus · Accepted Answer

If Bruce fails to pay Ewen on June 14, Ewen can serve Martinson with a garnishing order after obtaining judgment, commanding him to pay the money owed to Bruce into court if the money has not yet been paid to Bruce. This option allows Ewen to recover the money owed to him indirectly from Martinson. However, Ewen cannot sue Martinson for violation of the contract as the contract was between Ewen and Bruce. Ewen also cannot execute against Bruce's assets without obtaining a judgment against him first. Finally, Ewen cannot compel Bruce to be examined about Martinson's income, property, and debts as it is not relevant to the loan agreement between Ewen and Bruce.

Bruce Told Ewen That He Would Be Willing to Pay