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assignments basic law

Assignments: The Basic Law

The assignment of a right or obligation is a common contractual event under the law and the right to assign (or prohibition against assignments) is found in the majority of agreements, leases and business structural documents created in the United States.

As with many terms commonly used, people are familiar with the term but often are not aware or fully aware of what the terms entail. The concept of assignment of rights and obligations is one of those simple concepts with wide ranging ramifications in the contractual and business context and the law imposes severe restrictions on the validity and effect of assignment in many instances. Clear contractual provisions concerning assignments and rights should be in every document and structure created and this article will outline why such drafting is essential for the creation of appropriate and effective contracts and structures.

The reader should first read the article on Limited Liability Entities in the United States and Contracts since the information in those articles will be assumed in this article.

Basic Definitions and Concepts:

An assignment is the transfer of rights held by one party called the “assignor” to another party called the “assignee.” The legal nature of the assignment and the contractual terms of the agreement between the parties determines some additional rights and liabilities that accompany the assignment. The assignment of rights under a contract usually completely transfers the rights to the assignee to receive the benefits accruing under the contract. Ordinarily, the term assignment is limited to the transfer of rights that are intangible, like contractual rights and rights connected with property. Merchants Service Co. v. Small Claims Court , 35 Cal. 2d 109, 113-114 (Cal. 1950).

An assignment will generally be permitted under the law unless there is an express prohibition against assignment in the underlying contract or lease. Where assignments are permitted, the assignor need not consult the other party to the contract but may merely assign the rights at that time. However, an assignment cannot have any adverse effect on the duties of the other party to the contract, nor can it diminish the chance of the other party receiving complete performance. The assignor normally remains liable unless there is an agreement to the contrary by the other party to the contract.

The effect of a valid assignment is to remove privity between the assignor and the obligor and create privity between the obligor and the assignee. Privity is usually defined as a direct and immediate contractual relationship. See Merchants case above.

Further, for the assignment to be effective in most jurisdictions, it must occur in the present. One does not normally assign a future right; the assignment vests immediate rights and obligations.

No specific language is required to create an assignment so long as the assignor makes clear his/her intent to assign identified contractual rights to the assignee. Since expensive litigation can erupt from ambiguous or vague language, obtaining the correct verbiage is vital. An agreement must manifest the intent to transfer rights and can either be oral or in writing and the rights assigned must be certain.

Note that an assignment of an interest is the transfer of some identifiable property, claim, or right from the assignor to the assignee. The assignment operates to transfer to the assignee all of the rights, title, or interest of the assignor in the thing assigned. A transfer of all rights, title, and interests conveys everything that the assignor owned in the thing assigned and the assignee stands in the shoes of the assignor. Knott v. McDonald’s Corp ., 985 F. Supp. 1222 (N.D. Cal. 1997)

The parties must intend to effectuate an assignment at the time of the transfer, although no particular language or procedure is necessary. As long ago as the case of National Reserve Co. v. Metropolitan Trust Co ., 17 Cal. 2d 827 (Cal. 1941), the court held that in determining what rights or interests pass under an assignment, the intention of the parties as manifested in the instrument is controlling.

The intent of the parties to an assignment is a question of fact to be derived not only from the instrument executed by the parties but also from the surrounding circumstances. When there is no writing to evidence the intention to transfer some identifiable property, claim, or right, it is necessary to scrutinize the surrounding circumstances and parties’ acts to ascertain their intentions. Strosberg v. Brauvin Realty Servs., 295 Ill. App. 3d 17 (Ill. App. Ct. 1st Dist. 1998)

The general rule applicable to assignments of choses in action is that an assignment, unless there is a contract to the contrary, carries with it all securities held by the assignor as collateral to the claim and all rights incidental thereto and vests in the assignee the equitable title to such collateral securities and incidental rights. An unqualified assignment of a contract or chose in action, however, with no indication of the intent of the parties, vests in the assignee the assigned contract or chose and all rights and remedies incidental thereto.

More examples: In Strosberg v. Brauvin Realty Servs ., 295 Ill. App. 3d 17 (Ill. App. Ct. 1st Dist. 1998), the court held that the assignee of a party to a subordination agreement is entitled to the benefits and is subject to the burdens of the agreement. In Florida E. C. R. Co. v. Eno , 99 Fla. 887 (Fla. 1930), the court held that the mere assignment of all sums due in and of itself creates no different or other liability of the owner to the assignee than that which existed from the owner to the assignor.

And note that even though an assignment vests in the assignee all rights, remedies, and contingent benefits which are incidental to the thing assigned, those which are personal to the assignor and for his sole benefit are not assigned. Rasp v. Hidden Valley Lake, Inc ., 519 N.E.2d 153, 158 (Ind. Ct. App. 1988). Thus, if the underlying agreement provides that a service can only be provided to X, X cannot assign that right to Y.

Novation Compared to Assignment:

Although the difference between a novation and an assignment may appear narrow, it is an essential one. “Novation is a act whereby one party transfers all its obligations and benefits under a contract to a third party.” In a novation, a third party successfully substitutes the original party as a party to the contract. “When a contract is novated, the other contracting party must be left in the same position he was in prior to the novation being made.”

A sublease is the transfer when a tenant retains some right of reentry onto the leased premises. However, if the tenant transfers the entire leasehold estate, retaining no right of reentry or other reversionary interest, then the transfer is an assignment. The assignor is normally also removed from liability to the landlord only if the landlord consents or allowed that right in the lease. In a sublease, the original tenant is not released from the obligations of the original lease.

Equitable Assignments:

An equitable assignment is one in which one has a future interest and is not valid at law but valid in a court of equity. In National Bank of Republic v. United Sec. Life Ins. & Trust Co. , 17 App. D.C. 112 (D.C. Cir. 1900), the court held that to constitute an equitable assignment of a chose in action, the following has to occur generally: anything said written or done, in pursuance of an agreement and for valuable consideration, or in consideration of an antecedent debt, to place a chose in action or fund out of the control of the owner, and appropriate it to or in favor of another person, amounts to an equitable assignment. Thus, an agreement, between a debtor and a creditor, that the debt shall be paid out of a specific fund going to the debtor may operate as an equitable assignment.

In Egyptian Navigation Co. v. Baker Invs. Corp. , 2008 U.S. Dist. LEXIS 30804 (S.D.N.Y. Apr. 14, 2008), the court stated that an equitable assignment occurs under English law when an assignor, with an intent to transfer his/her right to a chose in action, informs the assignee about the right so transferred.

An executory agreement or a declaration of trust are also equitable assignments if unenforceable as assignments by a court of law but enforceable by a court of equity exercising sound discretion according to the circumstances of the case. Since California combines courts of equity and courts of law, the same court would hear arguments as to whether an equitable assignment had occurred. Quite often, such relief is granted to avoid fraud or unjust enrichment.

Note that obtaining an assignment through fraudulent means invalidates the assignment. Fraud destroys the validity of everything into which it enters. It vitiates the most solemn contracts, documents, and even judgments. Walker v. Rich , 79 Cal. App. 139 (Cal. App. 1926). If an assignment is made with the fraudulent intent to delay, hinder, and defraud creditors, then it is void as fraudulent in fact. See our article on Transfers to Defraud Creditors .

But note that the motives that prompted an assignor to make the transfer will be considered as immaterial and will constitute no defense to an action by the assignee, if an assignment is considered as valid in all other respects.

Enforceability of Assignments:

Whether a right under a contract is capable of being transferred is determined by the law of the place where the contract was entered into. The validity and effect of an assignment is determined by the law of the place of assignment. The validity of an assignment of a contractual right is governed by the law of the state with the most significant relationship to the assignment and the parties.

In some jurisdictions, the traditional conflict of laws rules governing assignments has been rejected and the law of the place having the most significant contacts with the assignment applies. In Downs v. American Mut. Liability Ins. Co ., 14 N.Y.2d 266 (N.Y. 1964), a wife and her husband separated and the wife obtained a judgment of separation from the husband in New York. The judgment required the husband to pay a certain yearly sum to the wife. The husband assigned 50 percent of his future salary, wages, and earnings to the wife. The agreement authorized the employer to make such payments to the wife.

After the husband moved from New York, the wife learned that he was employed by an employer in Massachusetts. She sent the proper notice and demanded payment under the agreement. The employer refused and the wife brought an action for enforcement. The court observed that Massachusetts did not prohibit assignment of the husband’s wages. Moreover, Massachusetts law was not controlling because New York had the most significant relationship with the assignment. Therefore, the court ruled in favor of the wife.

Therefore, the validity of an assignment is determined by looking to the law of the forum with the most significant relationship to the assignment itself. To determine the applicable law of assignments, the court must look to the law of the state which is most significantly related to the principal issue before it.

Assignment of Contractual Rights:

Generally, the law allows the assignment of a contractual right unless the substitution of rights would materially change the duty of the obligor, materially increase the burden or risk imposed on the obligor by the contract, materially impair the chance of obtaining return performance, or materially reduce the value of the performance to the obligor. Restat 2d of Contracts, § 317(2)(a). This presumes that the underlying agreement is silent on the right to assign.

If the contract specifically precludes assignment, the contractual right is not assignable. Whether a contract is assignable is a matter of contractual intent and one must look to the language used by the parties to discern that intent.

In the absence of an express provision to the contrary, the rights and duties under a bilateral executory contract that does not involve personal skill, trust, or confidence may be assigned without the consent of the other party. But note that an assignment is invalid if it would materially alter the other party’s duties and responsibilities. Once an assignment is effective, the assignee stands in the shoes of the assignor and assumes all of assignor’s rights. Hence, after a valid assignment, the assignor’s right to performance is extinguished, transferred to assignee, and the assignee possesses the same rights, benefits, and remedies assignor once possessed. Robert Lamb Hart Planners & Architects v. Evergreen, Ltd. , 787 F. Supp. 753 (S.D. Ohio 1992).

On the other hand, an assignee’s right against the obligor is subject to “all of the limitations of the assignor’s right, all defenses thereto, and all set-offs and counterclaims which would have been available against the assignor had there been no assignment, provided that these defenses and set-offs are based on facts existing at the time of the assignment.” See Robert Lamb , case, above.

The power of the contract to restrict assignment is broad. Usually, contractual provisions that restrict assignment of the contract without the consent of the obligor are valid and enforceable, even when there is statutory authorization for the assignment. The restriction of the power to assign is often ineffective unless the restriction is expressly and precisely stated. Anti-assignment clauses are effective only if they contain clear, unambiguous language of prohibition. Anti-assignment clauses protect only the obligor and do not affect the transaction between the assignee and assignor.

Usually, a prohibition against the assignment of a contract does not prevent an assignment of the right to receive payments due, unless circumstances indicate the contrary. Moreover, the contracting parties cannot, by a mere non-assignment provision, prevent the effectual alienation of the right to money which becomes due under the contract.

A contract provision prohibiting or restricting an assignment may be waived, or a party may so act as to be estopped from objecting to the assignment, such as by effectively ratifying the assignment. The power to void an assignment made in violation of an anti-assignment clause may be waived either before or after the assignment. See our article on Contracts.

Noncompete Clauses and Assignments:

Of critical import to most buyers of businesses is the ability to ensure that key employees of the business being purchased cannot start a competing company. Some states strictly limit such clauses, some do allow them. California does restrict noncompete clauses, only allowing them under certain circumstances. A common question in those states that do allow them is whether such rights can be assigned to a new party, such as the buyer of the buyer.

A covenant not to compete, also called a non-competitive clause, is a formal agreement prohibiting one party from performing similar work or business within a designated area for a specified amount of time. This type of clause is generally included in contracts between employer and employee and contracts between buyer and seller of a business.

Many workers sign a covenant not to compete as part of the paperwork required for employment. It may be a separate document similar to a non-disclosure agreement, or buried within a number of other clauses in a contract. A covenant not to compete is generally legal and enforceable, although there are some exceptions and restrictions.

Whenever a company recruits skilled employees, it invests a significant amount of time and training. For example, it often takes years before a research chemist or a design engineer develops a workable knowledge of a company’s product line, including trade secrets and highly sensitive information. Once an employee gains this knowledge and experience, however, all sorts of things can happen. The employee could work for the company until retirement, accept a better offer from a competing company or start up his or her own business.

A covenant not to compete may cover a number of potential issues between employers and former employees. Many companies spend years developing a local base of customers or clients. It is important that this customer base not fall into the hands of local competitors. When an employee signs a covenant not to compete, he or she usually agrees not to use insider knowledge of the company’s customer base to disadvantage the company. The covenant not to compete often defines a broad geographical area considered off-limits to former employees, possibly tens or hundreds of miles.

Another area of concern covered by a covenant not to compete is a potential ‘brain drain’. Some high-level former employees may seek to recruit others from the same company to create new competition. Retention of employees, especially those with unique skills or proprietary knowledge, is vital for most companies, so a covenant not to compete may spell out definite restrictions on the hiring or recruiting of employees.

A covenant not to compete may also define a specific amount of time before a former employee can seek employment in a similar field. Many companies offer a substantial severance package to make sure former employees are financially solvent until the terms of the covenant not to compete have been met.

Because the use of a covenant not to compete can be controversial, a handful of states, including California, have largely banned this type of contractual language. The legal enforcement of these agreements falls on individual states, and many have sided with the employee during arbitration or litigation. A covenant not to compete must be reasonable and specific, with defined time periods and coverage areas. If the agreement gives the company too much power over former employees or is ambiguous, state courts may declare it to be overbroad and therefore unenforceable. In such case, the employee would be free to pursue any employment opportunity, including working for a direct competitor or starting up a new company of his or her own.

It has been held that an employee’s covenant not to compete is assignable where one business is transferred to another, that a merger does not constitute an assignment of a covenant not to compete, and that a covenant not to compete is enforceable by a successor to the employer where the assignment does not create an added burden of employment or other disadvantage to the employee. However, in some states such as Hawaii, it has also been held that a covenant not to compete is not assignable and under various statutes for various reasons that such covenants are not enforceable against an employee by a successor to the employer. Hawaii v. Gannett Pac. Corp. , 99 F. Supp. 2d 1241 (D. Haw. 1999)

It is vital to obtain the relevant law of the applicable state before drafting or attempting to enforce assignment rights in this particular area.

Conclusion:

In the current business world of fast changing structures, agreements, employees and projects, the ability to assign rights and obligations is essential to allow flexibility and adjustment to new situations. Conversely, the ability to hold a contracting party into the deal may be essential for the future of a party. Thus, the law of assignments and the restriction on same is a critical aspect of every agreement and every structure. This basic provision is often glanced at by the contracting parties, or scribbled into the deal at the last minute but can easily become the most vital part of the transaction.

As an example, one client of ours came into the office outraged that his co venturer on a sizable exporting agreement, who had excellent connections in Brazil, had elected to pursue another venture instead and assigned the agreement to a party unknown to our client and without the business contacts our client considered vital. When we examined the handwritten agreement our client had drafted in a restaurant in Sao Paolo, we discovered there was no restriction on assignment whatsoever…our client had not even considered that right when drafting the agreement after a full day of work.

One choses who one does business with carefully…to ensure that one’s choice remains the party on the other side of the contract, one must master the ability to negotiate proper assignment provisions.

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The Law Dictionary

Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

ASSIGNMENT Definition & Legal Meaning

Definition & citations:.

In contracts. 1. The act by which one person transfers to another, or causes to vest in that other, the whole of the right, interest, or property which he has in any realty or personalty, in possession or in action, or any share, interest, or subsidiary estate therein. Seventh Nat. Bank v. Iron Co. (C. C.) 35 Fed. 440; Haug v. Riley, 101 Ga. 372, 29 S. E. 44, 40 L It A. 244. More particularly, a written transfer of property, as distinguished from a transfer by mere delivery. 2. In a narrower sense, the transfer or making over of the estate, right, or title which one has in lands and tenements; and, in an especially technical sense, the transfer of the unexpired residue of a term or estate for life or years. Assignment does not include testamentary transfers. The idea of an assignment is essentially that of a transfer by one existing party to another existing party of some species of property or valuable interest, except in the case of an executor. Ilight v. Sackett, 34 N. Y. 447. 3. A transfer or making over by a debtor of all his property and effects to one or more assignees in trust for the benefit of his creditors. 2 Story, Eq. Jur.

This article contains general legal information but does not constitute professional legal advice for your particular situation. The Law Dictionary is not a law firm, and this page does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.

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Assignment of Contract

Jump to section, what is an assignment of contract.

An assignment of contract is a legal term that describes the process that occurs when the original party (assignor) transfers their rights and obligations under their contract to a third party (assignee). When an assignment of contract happens, the original party is relieved of their contractual duties, and their role is replaced by the approved incoming party.

How Does Assignment of Contract Work?

An assignment of contract is simpler than you might think.

The process starts with an existing contract party who wishes to transfer their contractual obligations to a new party.

When this occurs, the existing contract party must first confirm that an assignment of contract is permissible under the legally binding agreement . Some contracts prohibit assignments of contract altogether, and some require the other parties of the agreement to agree to the transfer. However, the general rule is that contracts are freely assignable unless there is an explicit provision that says otherwise.

In other cases, some contracts allow an assignment of contract without any formal notification to other contract parties. If this is the case, once the existing contract party decides to reassign his duties, he must create a “Letter of Assignment ” to notify any other contract signers of the change.

The Letter of Assignment must include details about who is to take over the contractual obligations of the exiting party and when the transfer will take place. If the assignment is valid, the assignor is not required to obtain the consent or signature of the other parties to the original contract for the valid assignment to take place.

Check out this article to learn more about how assigning a contract works.

Contract Assignment Examples

Contract assignments are great tools for contract parties to use when they wish to transfer their commitments to a third party. Here are some examples of contract assignments to help you better understand them:

Anna signs a contract with a local trash company that entitles her to have her trash picked up twice a week. A year later, the trash company transferred her contract to a new trash service provider. This contract assignment effectively makes Anna’s contract now with the new service provider.

Hasina enters a contract with a national phone company for cell phone service. The company goes into bankruptcy and needs to close its doors but decides to transfer all current contracts to another provider who agrees to honor the same rates and level of service. The contract assignment is completed, and Hasina now has a contract with the new phone company as a result.

Here is an article where you can find out more about contract assignments.

Assignment of Contract in Real Estate

Assignment of contract is also used in real estate to make money without going the well-known routes of buying and flipping houses. When real estate LLC investors use an assignment of contract, they can make money off properties without ever actually buying them by instead opting to transfer real estate contracts .

This process is called real estate wholesaling.

Real Estate Wholesaling

Real estate wholesaling consists of locating deals on houses that you don’t plan to buy but instead plan to enter a contract to reassign the house to another buyer and pocket the profit.

The process is simple: real estate wholesalers negotiate purchase contracts with sellers. Then, they present these contracts to buyers who pay them an assignment fee for transferring the contract.

This process works because a real estate purchase agreement does not come with the obligation to buy a property. Instead, it sets forth certain purchasing parameters that must be fulfilled by the buyer of the property. In a nutshell, whoever signs the purchase contract has the right to buy the property, but those rights can usually be transferred by means of an assignment of contract.

This means that as long as the buyer who’s involved in the assignment of contract agrees with the purchasing terms, they can legally take over the contract.

But how do real estate wholesalers find these properties?

It is easier than you might think. Here are a few examples of ways that wholesalers find cheap houses to turn a profit on:

Direct mailers
Place newspaper ads
Make posts in online forums
Social media posts

The key to finding the perfect home for an assignment of contract is to locate sellers that are looking to get rid of their properties quickly. This might be a family who is looking to relocate for a job opportunity or someone who needs to make repairs on a home but can’t afford it. Either way, the quicker the wholesaler can close the deal, the better.

Once a property is located, wholesalers immediately go to work getting the details ironed out about how the sale will work. Transparency is key when it comes to wholesaling. This means that when a wholesaler intends to use an assignment of contract to transfer the rights to another person, they are always upfront about during the preliminary phases of the sale.

In addition to this practice just being good business, it makes sure the process goes as smoothly as possible later down the line. Wholesalers are clear in their intent and make sure buyers know that the contract could be transferred to another buyer before the closing date arrives.

After their offer is accepted and warranties are determined, wholesalers move to complete a title search . Title searches ensure that sellers have the right to enter into a purchase agreement on the property. They do this by searching for any outstanding tax payments, liens , or other roadblocks that could prevent the sale from going through.

Wholesalers also often work with experienced real estate lawyers who ensure that all of the legal paperwork is forthcoming and will stand up in court. Lawyers can also assist in the contract negotiation process if needed but often don’t come in until the final stages.

If the title search comes back clear and the real estate lawyer gives the green light, the wholesaler will immediately move to locate an entity to transfer the rights to buy.

One of the most attractive advantages of real estate wholesaling is that very little money is needed to get started. The process of finding a seller, negotiating a price, and performing a title search is an extremely cheap process that almost anyone can do.

On the other hand, it is not always a positive experience. It can be hard for wholesalers to find sellers who will agree to sell their homes for less than the market value. Even when they do, there is always a chance that the transferred buyer will back out of the sale, which leaves wholesalers obligated to either purchase the property themselves or scramble to find a new person to complete an assignment of contract with.

Learn more about assignment of contract in real estate by checking out this article .

Who Handles Assignment of Contract?

The best person to handle an assignment of contract is an attorney. Since these are detailed legal documents that deal with thousands of dollars, it is never a bad idea to have a professional on your side. If you need help with an assignment of contract or signing a business contract , post a project on ContractsCounsel. There, you can connect with attorneys who know everything there is to know about assignment of contract amendment and can walk you through the whole process.

ContractsCounsel is not a law firm, and this post should not be considered and does not contain legal advice. To ensure the information and advice in this post are correct, sufficient, and appropriate for your situation, please consult a licensed attorney. Also, using or accessing ContractsCounsel's site does not create an attorney-client relationship between you and ContractsCounsel.

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Understanding an assignment and assumption agreement

Need to assign your rights and duties under a contract? Learn more about the basics of an assignment and assumption agreement.

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by Belle Wong, J.D.

Belle Wong, is a freelance writer specializing in small business, personal finance, banking, and tech/SAAS. She ...

The assignment and assumption agreement

The basics of assignment and assumption, filling in the assignment and assumption agreement.

While every business should try its best to meet its contractual obligations, changes in circumstance can happen that could necessitate transferring your rights and duties under a contract to another party who would be better able to meet those obligations.

Person presenting documents to another person who is signing them

If you find yourself in such a situation, and your contract provides for the possibility of assignment, an assignment and assumption agreement can be a good option for preserving your relationship with the party you initially contracted with, while at the same time enabling you to pass on your contractual rights and duties to a third party.

An assignment and assumption agreement is used after a contract is signed, in order to transfer one of the contracting party's rights and obligations to a third party who was not originally a party to the contract. The party making the assignment is called the assignor, while the third party accepting the assignment is known as the assignee.

In order for an assignment and assumption agreement to be valid, the following criteria need to be met:

The initial contract must provide for the possibility of assignment by one of the initial contracting parties.
The assignor must agree to assign their rights and duties under the contract to the assignee.
The assignee must agree to accept, or "assume," those contractual rights and duties.
The other party to the initial contract must consent to the transfer of rights and obligations to the assignee.

A standard assignment and assumption contract is often a good starting point if you need to enter into an assignment and assumption agreement. However, for more complex situations, such as an assignment and amendment agreement in which several of the initial contract terms will be modified, or where only some, but not all, rights and duties will be assigned, it's a good idea to retain the services of an attorney who can help you draft an agreement that will meet all your needs.

When you're ready to enter into an assignment and assumption agreement, it's a good idea to have a firm grasp of the basics of assignment:

First, carefully read and understand the assignment and assumption provision in the initial contract. Contracts vary widely in their language on this topic, and each contract will have specific criteria that must be met in order for a valid assignment of rights to take place.
All parties to the agreement should carefully review the document to make sure they each know what they're agreeing to, and to help ensure that all important terms and conditions have been addressed in the agreement.
Until the agreement is signed by all the parties involved, the assignor will still be obligated for all responsibilities stated in the initial contract. If you are the assignor, you need to ensure that you continue with business as usual until the assignment and assumption agreement has been properly executed.

Unless you're dealing with a complex assignment situation, working with a template often is a good way to begin drafting an assignment and assumption agreement that will meet your needs. Generally speaking, your agreement should include the following information:

Identification of the existing agreement, including details such as the date it was signed and the parties involved, and the parties' rights to assign under this initial agreement
The effective date of the assignment and assumption agreement
Identification of the party making the assignment (the assignor), and a statement of their desire to assign their rights under the initial contract
Identification of the third party accepting the assignment (the assignee), and a statement of their acceptance of the assignment
Identification of the other initial party to the contract, and a statement of their consent to the assignment and assumption agreement
A section stating that the initial contract is continued; meaning, that, other than the change to the parties involved, all terms and conditions in the original contract stay the same

In addition to these sections that are specific to an assignment and assumption agreement, your contract should also include standard contract language, such as clauses about indemnification, future amendments, and governing law.

Sometimes circumstances change, and as a business owner you may find yourself needing to assign your rights and duties under a contract to another party. A properly drafted assignment and assumption agreement can help you make the transfer smoothly while, at the same time, preserving the cordiality of your initial business relationship under the original contract.

Assignment Law: Everything You Need to Know

In legal terms, the meaning of an assignment is a contractual obligation to transfer a property title or right from one party to another. 3 min read updated on February 01, 2023

The term assignment law is used in the law of real estate and in the law of contracts. In both instances, it relates to the transfer of rights held by one party (the assignor) to another party (the assignee).

Assignment Law

In legal terms, the meaning of an assignment is a contractual obligation to transfer a property title or right from one party to another. Generally, the assignment is transferred based on an entire interest in the property, chattel, estate, or other item assigned.

A grant is different from an assignment in that an assignment refers to the right to transfer the property. This is considered an intangible right. On the other hand, the grant is concerned about the physical transfer of property. This is a tangible right. For example, a payee can assign their rights to collect a note payment to a bank.

The terms of the contract must be analyzed to determine if the right of assignment is prohibited. For example, a property owner may allow a lease to be assigned, ordinarily along with an assumption agreement, where the new tenant is now responsible for the payments and duties of the lease.

The holder of a trademark may transfer it, either by giving or selling their interest in the trademark to another party. This is referred to as an assignment. The party that receives the benefit is called the assignee. Once transferred, the assignee has the ability to exclude others from using their trademark.

In order for the assignment to be enforceable, it must be in writing and have the goodwill of the company attached to the mark. For an assignment to be effective, it must contain the fundamental aspects of a contract, such as:

Parties with legal capacity
Legality of object
Consideration consent

A contract assignment occurs when a party assigns their contractual rights to a third party. The benefit the issuing party would have received from the contract is now assigned to the third party. The party appointing their rights is referred to as the assignor, while the party obtaining the rights is the assignee. Essentially, the assignor prefers that the assignee reverses roles and assumes the contractual rights and obligations as stated in the contract. Before this can occur, all parties to the original contract must be notified.

How Assignments Work

The specific language used in the contract will determine how the assignment plays out. For example , one contract may prohibit assignment, while another contract may require that all parties involved agree to it before proceeding. Remember, an assignment of contract does not necessarily alleviate an assignor from all liability. Many contracts include an assurance clause guaranteeing performance. In other words, the initial parties to the contract guarantee the assignee will achieve the desired goal.

When Assignments Will Not Be Enforced

The following situations indicate when an assignment of a contract is not enforced:

The contract specifically prohibits assignment
The assignment drastically changes the expected outcome
The assignment is against public policy or illegal

Delegation vs. Assignment

Occasionally, one party in a contract will desire to pass on or delegate their responsibility to a third party without creating an assignment contract. Some duties are so specific in nature that they cannot be delegated. Adding a clause in the contract to prevent a party from delegating their responsibilities and duties is highly recommended.

Three Steps to Follow if You Want to Assign a Contract

There are three main steps to take if you're looking to assign a contract:

Make sure the current contract does not contain an anti-assignment clause
Officially execute the assignment by transferring the parties' obligations and rights
Notify the obligor of the changes made

Once the obligor is notified, the assignor will effectively be relieved of liability.

Anti-Assignment Clauses

If you'd prefer not to allow the party you're doing business with to assign a contract, you may be able to prevent this from occurring by clearly stating anti-assignment clauses in the original contract. The three most common anti-assignment clauses are:

Consent required for assignment
Consent not needed for new owners or affiliates
Consent not unreasonably withheld

Based on these three clauses, no party in the contract is allowed to delegate or assign any obligations or rights without prior written consent from the other parties. Any delegation or assignment in violation of this passage shall be deemed void. It is not possible to write an anti-assignment clause that goes against an assignment that is issued or ordered by a court.

If you need help with assignment law, you can post your job on UpCounsel's marketplace. UpCounsel accepts only the top 5 percent of lawyers to its site. Lawyers on UpCounsel come from law schools such as Harvard Law and Yale Law and average 14 years of legal experience, including work with or on behalf of companies like Google, Menlo Ventures, and Airbnb.

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Assignment Contract Law
Assignment of Rights and Obligations Under a Contract
Assignment of Rights Example
Assignment Legal Definition
What Is the Definition of Assigns
Consent to Assignment
Assignment Of Contracts
Delegation vs Assignment
Assignment of Contract Rights

How to Write a Law Assignment

Table of Contents

Mastering the Art of Writing Law Assignments

What types of law assignments exist, skills to succeed, how to write a law assignment stage-by-stage, pre-writing stage:, here is what your outline may look like:, let’s talk in detail about the exact process of law essay writing, how to avoid mistakes, additional sources.

Summary: Writing a law assignment involves a step-by-step process: introduction, body paragraphs, supporting evidence, counter-arguments, and conclusion. Proper citation, referencing, and proofreading are essential.

Legal studies were, are, and always will be an essential discipline for society and its development. Law students pursue a legal education to become lawyers, judges, advocates, or other legal professionals. They study various legal topics, including contracts, torts, criminal law, and constitutional law. Law students are typically required to complete various assignments as part of their coursework, including legal research papers, case briefs, law essay writing, and moot court arguments.

Law assignments are vital to legal education and are critical in helping students develop their skills. “ The major law assignment styles aim to improve your analytical skills, your ability to apply legal principles and theory, and to write simply and concisely”. These tasks will for sure help in your future career. Therefore, it is important to understand how to write a law assignment properly.

This blog post provides tips and guidelines to help you confidently approach your law assignments and produce high-quality work that meets the standards of the legal profession. AssignmentBro is ready to help you understand how to write a clear and effective law assignment.

There are a wide variety of law assignments. It all depends on the discipline and other details of your specific studies. Here are some examples:

Case briefs involve analyzing and summarizing a specific legal case. Students are required to identify the key issues, relevant facts, applicable laws, the reasoning of the court, and the final decision.
Research papers demand law students to delve deep into a specific legal topic or issue. They involve extensive research, analyzing relevant statutes and case law, and presenting arguments based on scholarly sources. Research papers often require a thesis statement, literature review, methodology, analysis, and conclusion.
Essays in law focus on exploring and presenting arguments on a particular legal question or issue. Essays allow students to showcase their understanding of legal principles and ability to analyze and argue a position critically.
Moot court briefs simulate the preparation of written arguments for a hypothetical appellate court case. Students must study the legal concerns, create compelling arguments, and reference pertinent legal sources to defend their position.
Legal memoranda or legal analysis must contain a detailed analysis of the applicable laws and their application to the case. Memoranda are frequently used in legal studies, particularly for public law assignments.
Case comments are when students are expected to summarize the key aspects of the case, discuss its implications, and provide their insights on the topic.

Sounds huge. No worries, though! AssignmentBro is right here to provide you with all the information you need to succeed in your law assignment writing and to provide you with law assignment writing help.

To work in law, you need different soft and hard skills to be a lawyer or an advocate. What about the specific skills for writing assignments? Let’s talk about them.

Writing and presenting excellent legal essays may require the following:

Analytical Thinking: Law assignments require the ability to critically analyze legal issues, identify relevant facts, and apply legal principles to reach well-reasoned conclusions.
Research Capabilities: Effective research capabilities involve using legal databases, understanding citation formats, and evaluating the credibility and authority of sources.
Articulation of Arguments: Students should present their analysis and reasoning logically and coherently with excellent communication and presentation skills .
Understanding of Legal Concepts: A solid understanding of legal concepts and principles is crucial for writing law assignments.
Legal Writing Style: Adherence to a specific writing style that is concise, precise, and authoritative is vital. Proper citation of legal sources using recognized citation formats (such as Bluebook citation style, APA, or MLA) is also essential.
Critical Analysis of legal arguments, evaluating strengths and weaknesses, and offering balanced assessments are often involved in law tasks.
Attention to Detail: Careful attention to detail enhances the credibility and professionalism of the assignment.
Time Management: The quality of the final submission is ensured by sticking to deadlines, leaving enough time for revisions and editing.

By honing these skills and applying them consistently, any student can improve their ability to write a law assignment more effectively.

The legal task must go through several critical stages to be well-structured and successful. Here is a step-by-step guide on how to write a law assignment:

Carefully read and comprehend the assignment instructions provided by your lecturer or professor. Pay attention to the requirements, word limit, formatting guidelines, and specific questions or prompts.
Choose your assignment subject. If you struggle with choosing the right one, glance at the law topics we created.
Before starting the writing process, begin background research to become familiar with the subject and find pertinent legal statutes, cases, and theories. You can use this to develop a solid knowledge base to support your arguments.
As you research, take notes! Record key points, relevant quotations, and references to legal authorities.
Create a clear thesis statement or argument based on your initial research and grasp of the subject. It will be your writing’s direction. The thesis should present your main point or position on the discussed legal issue.

Create an outline to structure your thoughts and provide a roadmap for your assignment.

An outline ensures a logical flow and allows you to arrange your thoughts. Include the main sections or headings you plan to cover, sub-points, and supporting evidence for each. Here are the elements that should be part of an outline:

Hook or attention-grabbing statement to engage the reader.
Background information on the topic to provide context.
A thesis statement/main argument to clearly state your position/main points.
Break down your main argument or topic into sub-points.
Evidence, examples, or relevant legal authorities should support each main argument.
Under each main argument or point, reference supporting evidence, such as legal precedents, case studies, or relevant legal theories.
Include an analysis of the evidence, explaining how it supports your argument and strengthens your position.
Address potential counterarguments or opposing viewpoints related to your main arguments.
Refute counterarguments with solid reasoning, evidence, or alternative interpretations.
Summarize the main arguments or points you have discussed throughout your assignment.
Provide a sense of closure by reflecting on the significance of your findings.

Remember, the outline serves as a guide, and you can adapt it based on your assignment’s specific requirements and the topic’s complexity.

Let’s imagine that you write a criminal law assignment .

I. Introduction

Definition and overview of criminal law.
Purpose of the assignment.
Thesis statement or main argument.

II. Elements of a Crime

Actus reus: Discussing the physical act or conduct required for a crime.
Mens rea: Explaining the mental state or intent necessary for criminal liability.
Causation: Analyzing the causal link between the act and the harm caused.
Concurrence: Discussing the requirement that the act and intent coincide.

III. Classification of Crimes

Felonies: Explaining the characteristics and examples of felony offenses.
Misdemeanours: Discussing the characteristics and examples of misdemeanor offenses.
Infractions: Explaining the characteristics and examples of minor offenses.

IV. Criminal Defeses

Justifications: Exploring defenses such as self-defense, necessity, and defense of others.
Excuses: Discussing defenses like duress, insanity, and intoxication.
Procedural Defenses: Analyzing defenses related to the rights of the accused, such as unlawful search and seizure, Miranda rights, etc.

V. Criminal Procedure

Arrest and Search: Discussing the requirements and limitations for lawful arrest and search.
Due Process: Exploring the constitutional rights of the accused, such as the right to counsel, the right to a fair trial, etc.
Trial Process: Analyzing the steps involved in a criminal trial, including jury selection, opening statements, presentation of evidence, etc.
Sentencing: Discussing the factors considered in determining an appropriate sentence for a convicted offender.

VI. Notable Criminal Law Cases

Analyzing significant criminal law cases that have shaped legal principles or influenced the interpretation of criminal statutes.
Discussing the impact of these cases on the development of criminal law jurisprudence.

VII. Contemporary Issues in Criminal Law

Exploring current debates or challenges in criminal law, such as emerging technologies, cybercrimes, or criminal justice reform.
Analyzing the potential implications and future developments in the field.

VIII. Conclusion

Summarizing the main points and arguments presented.
Assessing the effectiveness and significance of criminal law in maintaining social order and protecting individuals’ rights.

It’s important to follow the structure of the assignment:

Begin with an attention-grabbing opening sentence or hook to engage the reader.
Provide relevant background information to set the context of the topic.
Clearly state the purpose of the assignment and what you aim to achieve.
Conclude the introduction with a concise thesis statement that outlines your main argument or position.
Ensure your thesis statement is concise, specific, and directly addresses the main focus of your assignment.
Each body paragraph should focus on a single main point or argument that supports your thesis statement.
Provide evidence, examples, or legal authorities to support your arguments.
Break down complex legal concepts or theories into understandable terms.
Support your arguments with well-reasoned analysis and relevant legal authorities.
Cite relevant legal statutes, case law, regulations, or academic sources to support your claims.
Ensure you accurately and appropriately cite your sources using the required citation style (e.g., Bluebook, APA, MLA).
Anticipate potential counterarguments and address them directly and objectively.
Summarize the main points or arguments discussed in your assignment.
Avoid introducing new information in conclusion.
Create a bibliography of your resources. It will help to avoid plagiarism. AssignmentBro supplies you with an incredible citation generator tool if you have trouble with quotations.
Allocate sufficient time for proofreading and editing to eliminate spelling, grammar, and punctuation errors. This stage is crucial and should not be avoided!
Review the overall structure, coherence, and clarity of your writing.
Ensure consistency in formatting, citation style, and referencing.

We want to highlight that strategy changes depending on the provided requirements. For example, there is also such a thing as an ACT essay. For the ACT essay, you’ll need an introduction, two to three body paragraphs (at least one paragraph for each perspective), and a conclusion.

By following these guidelines, you can succeed in law school essay writing!

Receiving help with legal studies assignments is helpful for developing analytical skills, applying correct legal principles, and writing tasks concisely.

It is not a regular task to write a legal paper. Thus, it’s completely acceptable for some students to make mistakes. We are humans, and we learn through making mistakes. However, it is best to avoid mistakes most students experience to succeed in your assignment.

The next common errors are highlighted:

Writing in the passive;
Using ambiguous pronouns;
Unnecessary wordiness;
Over-using legalese;
Neglecting to proofread.

Other mistakes include: making an essay too long or short, drafting a legal essay without arguments, submitting an essay without a bibliography , fluffing the conclusion, etc.

The only way to eliminate mistakes is a dedication to your work and continuous practice! For this reason, It’s crucial to learn how to write a law assignment properly.

Learning more is never too late. Below, we added a few extra resources to help you learn more about legal writing:

Many Birds, One Stone , Michael R. Smith;
Legal Writing , Linda H. Edwards;
Legal Writing in a Nutshell , L.Bahrych and J.Merino;
Law Assignment Techniques .
Writing Law Essays , M.Salter and J.Mason.

We hope it will ease your way to success in your legal education. Write a law assignment easily with AssignmentBro!

Our team can aid you with any kind of legal writing. Whether it is a contract law assignment, international law research, or any other kind of legal assignment, we are here to lend you a hand!

Law assignments help develop analytical skills, apply legal principles, and write concisely. They involve various types of writing, including case briefs, research papers, essays, and memoranda.

The pre-writing stage is vital. Even selecting a topic has a significant impact on your paper. For instance, topics in business Law can be really broad, so you should choose wisely.

Avoid mistakes by studying how to write a law assignment. AssignmentBro is always there to help you with any law task!

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Law School Toolbox®

All the tools you need for law school success

Five Tips for a Great Legal Writing Assignment

September 25, 2012 By Lee Burgess 2 Comments

Follow the format outlined by your professor. It is likely your legal writing professor has given you instructions for the overall format of your legal writing assignment. In addition, your professor may have given you formatting instructions for the body of your assignment, such as that you need to follow IRAC. Whatever the instructions, follow them . Sure, you may think it is an overly formal or a frustrating way to write—but to be honest, no one cares. You need to write for your professor . It is more important to write in the way your professor has outlined, than as you personally prefer. And it is not going to be the last time your writing will need to conform to someone else’s rules. As a working attorney you often need to write in the format requested by your boss or even by the court. So get used to it!
Remember, your writing doesn’t need to be full of legalese—the best legal writing is often simple! So many law students make the mistake of thinking that to “sound like a lawyer” they must use every possible legal term out there. This is just not the case. Often the most effective legal writing is very clear and concise and only uses legal terms or “legalese” when appropriate (say, when you are using a term of art). It is also important to work on writing in a clear, concise way because your assignments may have maximum word count. So using extra words to sound “more professional” won’t really help your grade in the end.
Answer the question asked by your assignment. Often students get so caught up in writing their assignment that they forget to focus on the question that was asked of them. It is important to read and re-read (and even read again) the assignment sheet. You don’t want to make a mistake and write something off topic. Remember, answering the question is key to getting a good grade!
Plan before you write. A great legal writing assignment is organized. And for most of us this means that you need to plan your paper just as you would plan an essay or any other project. Organization is key and it takes time to sit with the research and develop your answer. Make sure you build this time into your plan of how you are going to get your assignment done.
Proofread and double-check citations. As an attorney-in-training, it is very important to present yourself in a professional way. That means that you need to proofread your assignments to present yourself in a professional way to your professor as well. If your assignment is riddled with typos, it is distracting for the professor and likely will cause your grade to drop. Also, students often are lax when handling citations. You are typically graded on the accuracy of your citations. Citations are not hard, but you must be detail oriented and look things up! I have seen many a legal writing grade go down because students didn’t spend adequate time or energy on citations. Don’t let this happen to you.

Legal writing, like most things, gets easier the more that you do it. So do every practice assignment assigned and get as much feedback as you can. This will help you become an excellent legal writer, which is a critical skill in our profession.

Check out these other helpful posts:

Surviving the first weeks of law school .
Law school exam prep 101 .
Getting feedback on past exams is critical .
Pay attention in class, it can save you time !

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About Lee Burgess

Lee Burgess, Esq. is the co-founder of the Law School Toolbox , a resource for law students that demystifies the law school experience and the Bar Exam Toolbox , a resource for students getting ready for the bar exam. Lee has been adjunct faculty at two bay area law schools teaching classes on law school and bar exam preparation. You can find Lee on Twitter at @leefburgess , @lawschooltools , & @barexamtools .

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Thank very much for the tips i have just read they been beneficial to me because am a distance law school student.

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Assignee is a person to whom a right is transferred by the person holding such rights under the transferred contract (the “assignor”). The act of transferring is referred to as “ assigning ” or “ assignment ” and is a concept found in both contract and property law.

Contract Law

Under contract law, when one party assigns a contract, the assignment represents both: (1) a transfer of rights; and (2) a delegation of duties . For example, if A contracts with B to teach B guitar for $50, A can assign this contract to C. Here, A has both: assigned A’s rights under the contract to receive the $50 to C, and delegated A’s duty to teach guitar to C. In this example, A is the “assignor” because he/she assigns the contract to C. A is also the “primary obligor ,” meaning he/she will still be liable to B if C fails to teach B guitar. C is the “assignee,” since C is the party to whom A transfers the contract. C is also the “secondary obligor,” since he/she must perform the obligations to B. B is the ultimate recipient of the duty under the assignment, and is the “ obligee .”

There are a few notable rules regarding assignments under contract law. First, if an individual has not yet secured the contract to perform duties to another, he/she cannot assign his/her future right to an assignee. That is, if A has not yet contracted with B to teach B guitar, A cannot assign his/her rights to C. Second, rights cannot be assigned when they materially change the obligor’s duty and rights. Third, the primary obligor can sue the assignee directly if the assignee does not perform the assigned duty. In guitar assignment example, if C does not teach B guitar, A can sue C for any liability that A incurs as a result of C’s failure to perform the assigned contract. Fourth, if the promised performance requires a rare genius or skill, then the primary obligor cannot assign the contract.

Lastly, a related concept is novation , which is when the secondary obligor substitutes and releases the primary obligor. If novation occurs, then the primary obligor’s duties are extinguished under the contract. However, novation requires the obligee’s consent . In the guitar example, if A, B, and C agree to novation, then A would not be liable if C fails to teach B guitar.

Property Law

Under property law, assignment typically arises in landlord-tenant situations. For example, A might be renting from landlord B but wants C, a new tenant, to take over the lease. In this scenario, A might be able to choose between assigning and subleasing the property to C. If assigning , A would be giving C the entire balance of the term, with no reversion to anyone. If subleasing , A would be giving C for a limited period of the remaining term. Significantly, under assignment, C would have privity of estate with the landlord, while under a sublease, C would not.

[Last updated in December of 2021 by the Wex Definitions Team ]

business law
landlord & tenant
property & real estate law
trusts, inheritances & estates
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Practical Law

Legal assignment

Practical law uk glossary 9-107-6754 (approx. 3 pages).

Only the benefit of an agreement may be assigned.
The assignment must be absolute.
The rights to be assigned must be wholly ascertainable and must not relate to part only of a debt.
The assignment must be in writing and signed under hand by the assignor.
Notice of the assignment must be received by the other party or parties for the assignment to take effect.
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Q: Can a deed of assignment for no consideration be revoked upon death of the assignor

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A: If the assignment of a contractual right is transferred to the assignee, then it is fully executed. Subsequent events do not rescind the transfer.

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Honoring Judge James L. Jackson: A Life of Dignity, Excellence and Humility

"His commitment to juvenile justice reform demonstrated his forward-thinking approach and dedication to creating better outcomes for young individuals," writes retired Assignment Judge Julio Mendez.

June 17, 2024 at 10:00 AM

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With immense sadness we learned about the recent passing of Judge James L. Jackson. He was 76.

Jackson, born in 1948, served with great distinction for 16 years in the New Jersey Superior Court, Vicinage 1, encompassing Atlantic and Cape May counties. He was appointed to the bench in 1998, and his tenure extended until his retirement in 2014.

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assignment
assignment. 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.
Assignment (law)
Assignment [a] is a legal term used in the context of the laws of contract and of property. In both instances, assignment is the process whereby a person, the assignor, transfers rights or benefits to another, the assignee. [1] An assignment may not transfer a duty, burden or detriment without the express agreement of the assignee.
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Assignments: The Basic Law. The assignment of a right or obligation is a common contractual event under the law and the right to assign (or prohibition against assignments) is found in the majority of agreements, leases and business structural documents created in the United States. As with many terms commonly used, people are familiar with the ...
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assign
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ASSIGNMENT Definition & Meaning
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It is important to read and re-read (and even read again) the assignment sheet. You don't want to make a mistake and write something off topic. Remember, answering the question is key to getting a good grade! Plan before you write. A great legal writing assignment is organized. And for most of us this means that you need to plan your paper ...
assignee
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Honoring Judge James L. Jackson: A Life of Dignity ...
His commitment to juvenile justice reform demonstrated his forward-thinking approach and dedication to creating better outcomes for young individuals, writes retired Assignment Judge Julio Mendez.
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