California Reassignment of Rights Under Term Assignment

State:
Multi-State
Control #:
US-OG-523
Format:
Word; 
Rich Text
Instant download

Description

This is a form of Reassignment of Rights Under a Term Assignment.

How to fill out Reassignment Of Rights Under Term Assignment?

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FAQ

Generally speaking a change in control of a party to an agreement is not an assignment of that agreement by the party who experienced the change of control. But an anti-assignment clause can be drafted in such a way that a change of control of a party is deemed to constitute an assignment of the underlying agreement.

Assignment is a legal term whereby an individual, the ?assignor,? transfers rights, property, or other benefits to another known as the ?assignee.? This concept is used in both contract and property law. The term can refer to either the act of transfer or the rights/property/benefits being transferred.

The general rule is that change of control of a corporate entity is not an assignment by operation of law, and therefore does not violate a basic anti-assignment provision.

An assignment is the legal transfer of ownership of any property such as a trademark or copyright from one owner to another. The transferee or "assignee" is the person who acquires ownership, and the transferor or "assignor" is the person who transfers ownership rights.

Most futures contracts are not assignable. A buyer of an assigned contract can take a loss by paying an above-market price for the asset.

While the practice in California is not uniform, certain conditional sale contracts provide that if the contract is assigned, then the person obligated to pay will pay the assignee regardless of any defenses he may have against the assignor and will look only to the assignor as to his claim.

Generally, after a valid assignment, all the rights and obligations of the assignor pass to the assignee. The assignee steps into the shoes of the assignor. The assignee is now responsible for fulfilling any remaining obligations under the contract, and the assignee will reap the benefits of the contract.

A change of control is a change in a company's ownership or management that results in the decision-making capacity of that entity being exercised by a different group of shareholders and/or directors.

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California Reassignment of Rights Under Term Assignment