Assignment Flashcards
1
Q
What is assignment?
A
- The process whereby the benefit of a contract is transferred from one party to another, but the burden of the contract remains with the original part to the contract.
2
Q
Can you provide a working example to explain how assignment might be applied?
A
- When a party to a contract wants to assign the benefit under than contract to a third party, such as a purchaser or tenant of a building.
- Funders also frequently take assignment of the benefit of a contract in respect of a development, as additional security for the loan. Can assume the position of employer in the even that the employer defaults on its financial obligations.
3
Q
What are some typical clauses of assignment?
A
- It is standard to allow assignment of rights twice without consent.
- The assignment should be notified in writing to the other party.
