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The employees of Powder Power Tools corp. were represented by a labor union that had negotiated an agreement covering pay rates. A number of employees did not receive the higher rates of pay specified in the union contract. Springer, an employee, brought suit on behalf of those employees who did not receive the higher pay, claiming that they were third-party beneficiaries of the contract. The employer claimed that Springer could not sue because he was not a party to the contract. Is it likely that Springer will be successful in his suit? Why or why not?

Operation Management, Management Studies

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