Exam 8: Factors Affecting the Contractual Relationship

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Joe owned an apartment building and entered into a contract with Sam whereby Sam would operate the apartment building but the proceeds from the rent and profits would be distributed among Joe's children. If Joe were to die and Sam were to refuse to pay out any profits to the children, what could they do?

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The principle that contract terms apply only to the actual parties to the contract is known as ________.

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