Final answer:
The statement regarding liability between parties in a contractual relationship being a legal responsibility for breach of contract is true. Contractual rights ensure fulfillment of agreements and protect economic transactions, like in the case of a surgeon who operates with the expectation of payment.
Step-by-step explanation:
Liability between parties engaged in a contractual business relationship specifically refers to the legal responsibility that one party has to the other in case an event or loss occurs due to a breach of the contract. This statement is true. For instance, when a skilled surgeon performs surgery according to an employment agreement and expects to be paid, failure to pay by the patient would be considered a theft of services, which are the surgeon's property, in terms of labor provided. The surgeon, therefore, would have the right to seek legal recourse to secure payment. Dominant property and contractual rights ensure that contractual terms are fulfilled. Without a system enforcing contracts, businesses would face elevated risks, potentially disturbing economic development and dissuading individuals from engaging in contractual agreements for fear of non-payment.