Cession - assignment or property, the ownership of which is confirmed by documents. This relationship has a certain structure. The key elements are the object and subject. The parties to the relationship enter into an assignment agreement. What is it - in simple words will be described in the article. 
General information
So, the cession agreement - what is it? In simple words, this is a debt sale agreement. In practice, it is often enough. In accordance with it, one entity - the creditor - transfers to another the right to demand the implementation of the obligation from the debtor. The same name is given to the agreement under which the reinsurer receives part of the risks from the insurer in combination with a share of the premium. Legislation in such cases allows the subsequent distribution of responsibility. Such reinsurance is called retrocession. A typical case of the relationship in question is the agreement of the bank and the collection agency. However, in the summer of 2012, the Armed Forces actually imposed a ban on the transfer of debt from a financial institution to a company that does not have an appropriate license, without the consent of the debtor.
Design specifics
Speaking of what cession is, it is necessary to focus on the peculiarities of drawing up an agreement. It can be arranged as a sale, for example. However, it is in any case necessary to determine the subject of the transaction. After all, what is cession? This is a transfer of legal opportunity. Therefore, the agreement must indicate its nature, duration and scope.
Important point
Together with the signing of this document, the original creditor without fail provides the new all the securities associated with the main transaction. If this does not happen, the court may involve the subject in which they remained as a third party in the process in which the legality of the cession will be established. 
The specifics of the transfer of legal opportunities
Speaking of what cession is, it is necessary to dwell on the subject of the transaction. First of all, you need to know that the original creditor cannot transfer more legal opportunities to the new entity than he himself had under the basic agreement. At the same time, unless otherwise specified, a penalty, penalties, fines are also included in the assignment agreement between a legal entity and an individual or citizens.
Responsibility and limitations
The original creditor is responsible for the validity of the legal opportunities that it transfers, but not for their implementation. Normative acts determining what a cession is, as a rule, indicate the absence of the need to obtain the consent of the debtor to complete the transaction. However, the law requires notification of the conclusion of an agreement. Otherwise, the debtor may erroneously repay the obligation to the original, and not a new creditor. An assignment agreement between individuals, the model of which will be described later, cannot be concluded with respect to a number of debts. The restriction is set for obligations related to compensation for harm to health, payment of alimony and other penalties related directly to the personality of the subject. 
Assignment agreement between individuals: sample
First of all, it should be noted that the more specifically its subject will be spelled out in the agreement, the less subsequently the likelihood of questions arising regarding its legality.Under the conditions, the original creditor is obligated to transfer, and the new one to partially or fully accept the claims belonging to the first. Accordingly, an agreement must be concluded between the main creditor and the debtor, from which the obligations of the latter proceed. A cession between a legal entity and an individual is executed in a similar way. The agreement between the main and new creditors shall include information on the document in accordance with which obligations of the debtor arose.
In particular, its number, date of signing are indicated. It is also necessary to register the amount of debt. Rights of claim must be supported by documents. The agreement also includes information on the amount of remuneration to the original creditor, the procedure and form of settlement. When signing the contract, as was said above, all related documents are transferred to the new entity. In addition, all information relevant to the transaction is announced. The norms stipulate the need to notify the debtor of the signing of the agreement. A copy of the contract must be attached to the notice. The document is drawn up in the same form as the original agreement. This can be a simple written form or notarized. 
Thing
According to Art. 382 of the Civil Code, as it is the right of demand. It belongs to the creditor in accordance with the obligation. By Art. 307 Civil Code, it assumes that one entity - the debtor - performs certain actions in favor of another - the creditor. This can be a payment of money, transfer of property, work, etc. The obligation can be realized and inaction. In particular, the debtor refrains from agreed upon behavioral acts. In turn, the creditor has the right to demand performance of the obligation from him. This legal opportunity comes from an agreement between them.
From the foregoing, it follows that the subject of the assignment is a subjective obligation law that has a property character. The provisions of the law governing a transaction of this type do not apply to other relations. In particular, we are talking about rights that do not appear as subjective obligations. These include, in particular, the legal possibility of the pre-emptive acquisition of a share in the common property, etc. Assigned rights can be either contractual or non-contractual in nature. For example, they may come from civil wrongs. In particular, this refers to the right to demand compensation for property damage, payment of a penalty. The subject of the transaction may also come from unjust enrichment. 
Bans
The original contract may contain a condition that does not allow cession. The ban is also often issued in a separate document. It should be noted that the legislation provides for a number of cases where the inadmissibility of a cession cannot be established. For example, this is spelled out in Art. 828, paragraph 1 of the Civil Code, as well as Art. 993, paragraph 3 of the Civil Code. It is worth saying that in Roman law the transfer of obligations to more influential entities was not allowed. This was due to the fact that at that time it was believed that the position of the debtor could not be worsened. When transferring the right of claim to a more influential subject, it would be more difficult for him to defend himself. Currently, there is no need to introduce such a norm. This is due to the fact that the principle of equality of participants in relations is proclaimed in legislation. 
The moment of transfer of legal opportunity
The current legislation does not provide for any special provisions. However, it was established that from the moment of signing the corresponding agreement, the original creditor loses the transferred legal opportunity. If after this he concludes with someone a second agreement on the same subject and with respect to the same debtor, then the cession will be declared invalid.As for the immediate moment of transition of a legal opportunity, it refers to the time of signing the relevant document, with the exception of a number of cases. These situations include:
- Transfer of future rights. They will transfer to a new lender only at the time of occurrence.
- Conclusion of an agreement suspensive condition. It is regulated Art. 157, Clause 1 of the Civil Code. In this case, legal opportunities pass to the new lender only upon the occurrence of the agreed conditions.
- Another moment established by agreement of the parties.
Debtor Notification
Analyzing the norms of the Civil Code, we can conclude that the new lender acts as the most interested entity in the notification of the obligated person. This is due to the fact that if the debtor was not properly notified, it is he who bears the risk of adverse consequences. In the absence of a notice, the fulfillment of the obligation by the original creditor is considered legal and counts as a good repayment. The burden of notification may also be borne by the original lender. In this case, he will be interested in the proper performance of his contractual obligations. 
The absence of third parties
In addition to the original and new lenders, no third party may have an interest in sending a notification to the debtor. Moreover, for the obliged subject, the value is not simply the receipt of information about the transaction, but its receipt from an authorized person who has reliable information about the signed agreement. It can only be an initial or new creditor or a representative from them by proxy. If the debtor received a notice from a third party, then he does not have sufficient reason to believe the information received.
Debtor's actions
From the moment of receipt of the notification from the proper entities, the obligated person cannot repay the debt in favor of the original creditor. Otherwise, such fulfillment of the obligation will be considered unfair. The debtor who has received the notice may immediately begin to repay or demand from the new creditor evidence that he really received the right of claim. The latter, in turn, is obliged to provide all the documentation certifying the transaction and provide information relevant to the fulfillment of the conditions established in the main agreement.
