What constitutes a valid assignment of a contract?

Published by a ÑÇÖÞÉ«ÇéÍø Dispute Resolution expert
Practice notes

What constitutes a valid assignment of a contract?

Published by a ÑÇÖÞÉ«ÇéÍø Dispute Resolution expert

Practice notes
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This Practice Note identifies what can be transferred when assigning rights under a contract and how to effect a valid assignment of a contract.

For guidance on common contract assignment scenarios, see Practice Note: Assigning contracts—common scenarios and considerations.

For guidance on the key practical and commercial considerations when assigning contracts, see Practice Note: How to assign rights under a contract.

Note also that when discussing assigning contractual rights, reference may also be made to assigning ‘Chose in action’ in the sense that the benefit of a contract has been held to be a chose in action.

When is assignment of contracts relevant for consideration?

Contracts, or rather, rights under contracts, are frequently assigned as part of the way companies run their businesses. When Advising a party in relation to a proposed or purported assignment (transfer) of a contractual right where there may be a dispute, you will need to consider:

  1. •

    what, when and how rights can be assigned

  2. •

    how an assignment can be challenged

For detail on how to

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Jurisdiction(s):
United Kingdom
Key definition:
Chose in action definition
What does Chose in action mean?

A right to something such as a payment of a debt or other contractual right that can be recovered through legal action

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