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CAP · Question #147
CAP Question #147: Real Exam Question with Answer & Explanation
The correct answer is C: It depends on what the termination clause of the contract stipulates.. See the full explanation below for the reasoning.
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Question
Eric is the project manager of the NQQ Project and has hired the ZAS Corporation to complete part of the project work for Eric's organization. Due to a change request the ZAS Corporation is no longer needed on the project even though they have completed nearly all of the project work. Is Eric's organization liable to pay the ZAS Corporation for the work they have completed so far on the project?
Options
- AIt depends on what the outcome of a lawsuit will determine.
- BNo, the ZAS Corporation did not complete all of the work.
- CIt depends on what the termination clause of the contract stipulates.
- DYes, the ZAS Corporation did not choose to terminate the contract work.
Topics
#Contract Management#Termination Clauses#Vendor Management#Legal Liability
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