Assignment: Difference between revisions

The act of unilaterally passing your rights, but not your obligations, to some other fellow.

'''Rights''': As a matter of {{t|contract}} law, one can assign one’s rights without one’s [[counterparty]]’s consent (broadly speaking, why should she care?), unless your [[contract]] states that you cannot, in which case you cannot.

'''Obligations''': You cannot [[assign]] your obligations to anyone without the [[counterparty]]’s consent. This stands to reason, since another chap might not be as skillful, creditworthy or personally attractive as you. Therefore your [[counterparty]] must consent, and if he does, it is called a [[novation]].

'''Does a right of assignment compromise a netting contract?''' If I have a contract predicated on my being able to [[net]] or [[set off]] transaction amounts I owe you against amounts you owe me, couldn’t your right to assign your rights against me to a third person prejudice the rights under my contract?  

{{Seealso}}

*[[Assign by way of security]]