Asked by Chynna Hughes on May 27, 2024

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Anna has a contract to perform accounting services for Intercend Corporation. She breaches her contract in a nonmaterial way. Which of the following is correct with respect to Anna's liability?

A) Anna is not entitled to any compensation for her services.
B) Anna does not have liability to third party intended beneficiaries.
C) Anna is entitled to the contractually agreed upon fee less any damages or loss her breach has caused her clients.
D) Anna will get full compensation only after she corrects the breach.

Nonmaterial Way

A term often related to philosophical, spiritual or cultural practices that involves something intangible, not based on material or physical objects or needs.

Liability

The condition of having legal accountability, especially regarding debts or legal duties.

Contractually Agreed Upon Fee

A fee that parties have explicitly decided upon within a contract for services or goods.

  • Outline the components and solutions for contract violation within the sphere of accounting services.
  • Distinguish between material and nonmaterial breaches of contract and their consequences.
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KK
Kainat KhaliqMay 30, 2024
Final Answer :
C
Explanation :
Anna is entitled to the contractually agreed upon fee less any damages or loss her breach has caused her clients. This is because in cases of nonmaterial breach, the breaching party is still entitled to compensation for the work performed, but must compensate the non-breaching party for any losses caused by the breach.