- Assignment of Debt
Use Lawlive's Deeds of Assignment of Debt to assign a debt as between companies and individuals or between each.
Some advantages of assigning a debt are that no consideration is required for a valid legal assignment, the assignee is entitled to sue the debtor in its own name and does not need to join the assignor as a party to the action, the debtor can safely perform its obligations in favour of the assignee, the assignee is the person who can discharge the debt, and that a legal interest is obtained for value and without notice of earlier equitable interests and will be accorded priority ahead of equitable interests.
Where a party seeks to transfer not only its rights under a contract but also the burden of a contract (obligations), this can only be done through a Deed of Novation.
Letters of Demand to chase up payments of outstanding debts are also provided for use before commencing any formal recovery process.
