A transfer of contract rights to a third party is an incidental benefit.

Generally, the duties under a contract can be delegated

Lew and Mavis enter into a contract for the clearing and plowing of Mavis’s 350-acre tract for which she agrees to pay $1,000. Lew transfers his duty under this contract to Nye. With respect to the duties under the original contract, this transfer

Beau borrows $15,000 from Credit Center to buy a car. The lender assigns the right to receive the loan payments to Debt Collections Inc. If Beau does not pay the debt, the assignee can

A surgeon can delegate his or her contractual duty to operate on a certain patient because the rendering of medical services is not personal performance.

Commercial Rebuild LLC enters into a contract to remodel Dockside Marina, agreeing to use only products from Eagle Supplies. Halfway through the project, Commercial refuses to finish the job. The contract can be enforced against Commercial by

When the original parties to a contract agree that its performance should directly benefit a third party, that party can sue the promisor directly for breach.

Beta contracts to design and deliver marketing materials to Cesar. Beta cannot delegate this duty to Devon

Desu, an accountant, and Engineers PA enter into a contract under which Desu agrees to perform audits for Engineers. Desu can delegate the duty to perform the audits to

If performance under a contract will vary materially on a delegation of its duties to a third party from that expected by the obligee, the delegation is

An obligee can legally refuse performance from a delegatee only if the duty delegated is one that cannot be delegated.

Jim and Kiel agree that Jim will fix the refrigeration unit in Kiel’s Food Truck in exchange for payment of a debt that Jim owes to Lenders Bank. Under this contract, the intended beneficiary is

An insurance policy cannot be assigned if the assignment will significantly alter the risks to, or the duties of, the insurer.

An incidental third party beneficiary cannot sue to enforce the contract because the benefit is unintentional.

  

Beck and Call enter into a contract under which Beck agrees to cater Call’s wedding. The contract expressly prohibits any transfer of rights without the assignee’s consent. Call may transfer the right to receive Beck’s services to Dion

Once the obligor receives proper notice, only performance to the assignee can discharge the obligor’s obligation.

  

Any beneficiary to a contract who is not deemed an intended beneficiary is an incidental beneficiary.

On an assignment to a loan broker by an auto dealer of the payments due on an auto loan, the broker obtains only those rights that the dealer originally had.

Harry assigns his rights under a contract with Irma to his college roommate, Jake. Neither Harry nor Jake notifies Irma of the assignment. The assignment

Laminate LLC agrees to buy factory equipment from Metalwork Company on the seller’s misrepresentation that it meets certain specifications. Metalwork assigns the right to payment on the deal to Nations Credit Corporation. When the buyer discovers the fraud, the firm returns the equipment and cancels their contract. Laminate

Expressly designating a third party as a beneficiary in a contract indicates that the beneficiary is intended.

In most states, the assignment of ownership rights in real estate cannot be prohibited because that would be contrary to public policy.

A debt collector who is delegated the right to payments on a student loan owes no obligation to the debtor arising under the original terms of the loan.