Having no special knowledge and not knowing legal terminology, ordinary people practically do not encounter such concepts as “assignor”, “assignment agreement”. But sometimes such knowledge is very useful in order not to let yourself be deceived, for example, when concluding a loan agreement. After all, without paying attention to some details, you may not notice how debt obligations under the loan agreement will be sold to third parties. Who is the assignor? We will understand this article.
Assignment agreement
For the first time we learned about these agreements in history at school, studying the Middle Ages. In connection with this phrase, diplomatic treaties, transfer of territories, any rights, etc. were mentioned. This process went quite peacefully and ended with receiving something valuable to the mutual pleasure of the parties. This was called cession, and it was a question of transferring rights to something (for example, to an administrative unit) to the other party with the receipt of profitable compensation. A kind of arrangement, from the category of "you - to me, I - to you." The concepts of "assignor" and "assignee" are interesting to many.
With the development of the financial, legal and political system, the concept of “cession” began to reflect various kinds of debt relations. In the modern world, a assignment agreement is a document confirming the alienation of debt in favor of an outside party (both a legal entity and an ordinary citizen). In some cases, it seems problematic to determine the subject matter of the transfer of rights agreement, as well as the legal obligations of all interested parties. We encounter the simplest version of such documents when a creditor transfers credit obligations to a collector organization. Who is the assignor? This question is often asked.
Who are the assignor and the assignee?
The parties involved in this agreement are called assignors and assignees. The participant in the transaction, assigning the right of claim under the contract, is the assignor, and the receiving party is the assignee. The document certifying the transfer of rights is called the title. The ability to recover a debt goes from one lender to another. Actually, the debtor does not participate in this at all (the exception is the tripartite assignment agreements, which we mentioned above), the legal act is performed without it, he learns about everything, as a rule, after the conclusion of the transaction. There is a transfer of debt. Initially, when determining contractual obligations, the borrower has obligations to the assignor, and after the assignment of rights to the assignee. Relations arising from the conclusion of these agreements are regulated by Russian law in sufficient detail.
Features of the conclusion of assignment agreements
The assignment agreement may be concluded upon the sale of the enterprise. In this case, the previous owner is the assignor, who transfers the assets of the company to the assignee (next owner). When concluding transactions of this kind, the rights and interests of all participants must be taken into account and respected. At the same time, such a sale cannot be made if there are any contradictions to the law. It is necessary to remember an interesting nuance. Sometimes the original lender enters into an agreement with the borrower prohibiting the assignment of the right of claim to other persons (enterprises).If the signed assignment agreement is still there, then it is valid and completely legal. However, the first lender is legally liable to the borrower for terminating the agreement. How do the assignor and the assignee share the debt?
The Civil Code indicates that at the time of the conclusion of the assignment agreement, the right of claim passes to the assignee. If the debtor paid a certain amount against the assigned claim, then it should be transferred to him. Responsibility for invalid claims lies with the assignor. However, non-fulfillment of obligations by the debtor does not entail liability of the assignor, if he has not vouched for the borrower in advance.
If the law was violated during the conclusion of the transaction, all agreements will be canceled and the damage caused will be indemnified. If the document on the assignment of rights was concluded between the same assignor and several persons, then the contract that was concluded earlier shall be recognized as valid.
We figured out who this is - the assignor.
Use of assignment agreements
Often there is a transfer of debt between legal entities when a reorganization of enterprises occurs. In this case, the reorganized company becomes the debtor. Alienation of property during a divorce proceedings or transfer of debt obligations from one person to another may also be accompanied by registration of assignment obligations.
The assignment agreement is also used as a guarantee of the fulfillment of obligations in the supply of various goods, as well as in the issuance of credit. In this case, the transaction does not require the participation of a notary. For its conclusion, only the signatures of the participants, the presence of their passport data and the basic conditions of the agreement are necessary.
Conditions
A tripartite assignment agreement may be concluded on a cost-recovery basis or be free of charge. Thus, rights are transferred or sold by the assignor to a collection agency. However, by law, this should not have any effect on the total financial load of the borrower (debt amount, interest rate, maturity). Simply put, for him nothing changes, he does not care who should get the debt.
There is a tripartite form of assignment agreement with the participation of the object of the claim - the debtor. In this case, the borrower must be timely notified of the transaction. The tripartite form of the assignment agreement is rarely used at present. This is how debt transfer works.
Conditions necessary for concluding an assignment agreement
When making a transaction of this kind, its participants must indicate the information established by law. The names and details of the parties involved are registered, and for individuals - passport data. The time frame and other conditions under which the assignment of claim rights, as well as the amount of financial obligations are clearly defined. The list of documents and details of the agreement confirming the presence of debt to the first creditor is indicated.
Thus, the document explains in detail the causes of debt and their size. The liability of the parties is established, as well as the circumstances in which a trial is admissible. The rights of the assignor are quite legal.
And what does the law say?
The conclusion of such transactions shall not contradict the legislative acts of the Russian Federation. For example, if the assignor determines the party participating in the agreement on joint activities, then the assignment of rights is impossible without the consent of other participants.
The following rights are also not subject to assignment:
- payment of alimony;
- compensation for moral as well as material damage in case of harm to the life or health of third parties.
The conclusion of the assignment agreement involves the presentation of additional documents.For example, you need an act containing a detailed list of securities transferred to the assignee, or additional agreements to the contract. This helps minimize the risks of the assignor.
Relations between Assignee and Debtor
The new creditor is obliged to inform the debtor that the creditor has changed. As long as the borrower is not properly informed about this, he has the right not to pay any cash. If the debt was paid to the assignor after the conclusion of the assignment agreement, but before notification of the transaction, the assignee is in a very difficult situation. He will have to seek the return of the debt by the assignor, and he cannot have claims against the debtor. These are the obligations of the assignor.
Cession and simple assignment - what is the difference?
Under the assignment agreement, the assignor may transfer only his rights. A contract of assignment can be drawn up so that, along with the rights, certain obligations will also be transferred to the other side. For example, the assignment of rights to lease office premises cannot be the subject of an assignment agreement, since in accordance with the agreement the tenant not only occupies the area, but also pays for it at a certain rate on time. And in the case of the assignment of rights to shares, the contract is considered assignee, as the assignee has the right to receive dividends, but no obligations are imposed on it.
Now it’s clear who this is - the assignor.