[Painted House] Jamal had a contract to paint Stephanie's house for $800.His contractual obligations included cleaning up any debris.The contract between Jamal and Stephanie did not in any way address assignment.Jamal,who was very busy,assigned the contract to Greg who was interested in making some extra money and had experience painting.Jamal specified that the contract included the duty to paint the house and the right to receive the money.Jamal did not tell Stephanie about the assignment because he did not want any trouble.Greg also did not mention the assignment to Stephanie.In fact,Greg never met Stephanie because he painted her house while she was at work.After Greg did a good job painting the house,Stephanie sent a check to Jamal for $800.Jamal needed the money to pay some bills,so he spent it.He thought he would have money coming in with which to pay Greg,but that did not happen.Greg asked Stephanie for $800 when it was not forthcoming from Jamal.Stephanie refused.Greg said that he was going to sue her.Stephanie called Jamal and told him that he had no right to assign the contract.In addition,there was another problem involving the disposal of debris.Although Greg was a good,competent painter,he forgot and left some old paint cans at Stephanie's house.Stephanie demanded that Jamal come and properly dispose of the paint cans because they could not simply be put in the trash.Jamal refused and told her that she would have to get Greg to dispose of the paint cans because that was his responsibility.Stephanie called Greg who told her that he was busy and that clearing out the paint cans was Jamal's responsibility.
-What would be the likely result of a lawsuit brought by Greg against Stephanie to recover the $800?
A) Stephanie will win because she had no notice that the contract had been assigned and could,therefore,legally satisfy her obligations by paying Jamal.
B) Stephanie will win only so long as the assignment was for an amount over $500.
C) Greg will win only so long as the assignment was for an amount under $1,000.
D) Greg will win only so long as Jamal has not been declared bankrupt because Stephanie will be able to recover the amounts at issue from Jamal.
E) Greg will win because Stephanie accepted the risk that the contract would be assigned.
Correct Answer:
Verified
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