It is important to promptly notify the obligor that an assignment has occurred.Why?
A)It is a necessary requirement for a valid assignment.
B)The obligor might perform to the assignor rather than the assignee.
C)The obligor's duty to perform is completely discharged.
D)If the obligor neither knew nor had reason to know about the assignment,the obligor remains liable to the assignee.

Question

Quizplus · Accepted Answer

An assignee should promptly notify the obligor of the assignment.One reason notice is important is that an obligor who does not have reason to know of the assignment could render performance to the assignor and claim that his/her obligation had been discharged by performance.An obligor who renders performance to the assignor without notice of the assignment has no further liability under the contract.

It Is Important to Promptly Notify the Obligor That an Assignment