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Lecture Dynamic business law (3/e) - Chapter 19: Third-party rights to contracts

The main contents of the chapter consist of the following: What is an assignment? What are the rights and duties of an assignor? What are the rights and duties of an assignee? What is a third-party beneficiary contract? What are the differences among donee beneficiaries, creditor beneficiaries, and incidental beneficiaries? | Chapter 19 Third-Party Rights to Contracts Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Chapter 19: Third-Party Rights to Contracts Obligor and Obligee (Definitions): Obligor: Contractual party who owes duty to other party in privity of contract Obligee: Contractual party owed duty from other party in privity of contract An obligor is a contractual party who owes a duty to another party in privity of contract, while an obligee is a contractual party owed a duty from another party in privity of contract. Assignment (Definitions): Assignment: Transfer of rights under a contract to a third party Assignor: Party to contract who transfers his/her rights to a third party Assignee: Party (not in privity of contract) who receives transfer of rights to a contract An assignment is a transfer of rights under a contract to a third party. An assignor is a party to a contract who transfers his or her rights to a third party, while an assignee is a party not in privity of contract who receives a transfer of rights to a contract. Contractual Rights That Cannot Be Assigned Rights that are personal in nature Rights that would increase obligor’s risks/duties Rights in a contract that, by its terms, expressly forbids assignments Rights whose assignment prohibited by law/public policy Contractual rights that cannot be assigned include rights that are personal in nature, rights that would increase an obligor’s risks or duties, rights in a contract that expressly forbids assignments, and rights whose assignment is prohibited by law or public policy. Delegation (Definitions): Delegation: Transfer of duty under a contract to a third party Delegator: Party to a contract who transfers his/her duty to a third party Delegatee: Party (not in privity of contract) who receives transfer of duty to a contract A delegation is a transfer of a duty under a contract to a third | Chapter 19 Third-Party Rights to Contracts Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Chapter 19: Third-Party Rights to Contracts Obligor and Obligee (Definitions): Obligor: Contractual party who owes duty to other party in privity of contract Obligee: Contractual party owed duty from other party in privity of contract An obligor is a contractual party who owes a duty to another party in privity of contract, while an obligee is a contractual party owed a duty from another party in privity of contract. Assignment (Definitions): Assignment: Transfer of rights under a contract to a third party Assignor: Party to contract who transfers his/her rights to a third party Assignee: Party (not in privity of contract) who receives transfer of rights to a contract An assignment is a transfer of rights under a contract to a third party. An assignor is a party to a contract who