What is an equitable assignment?

Related Content. An assignment which does not fulfil the statutory criteria for a legal assignment. An equitable assignment may be made in one of two ways: The assignor can inform the assignee that he transfers a right or rights to him.

Can you assign an equitable claim?

Equitable assignments can be created by: The assignor instructing the other party to release their obligation from the assignee and place it instead on the assignor.

What is Section 37 of Indian Contract Act?

Section 37 of Indian Contract Act 1872 : “Obligation of parties to contracts” 37. The parties to a contract must either perform, or offer to perform, their respective promises, unless such performance is dispensed with or excused under the provisions of this Act, or of any other law.

What is an equitable assignment of debt?

The first conception of equitable assignment is that it involves rights against the debtor which are held by the assignor being transferred to the assignee. The assignee becomes the right-holder and a direct jural relationship between the debtor and the assignee is formed.

Is consideration required for an equitable assignment?

There may be an equitable assignment of an equitable chose or an equitable assignment of a legal chose. No consideration is required for the assignment of an equitable chose provided that the assignor has, at the material time, done all that he can to perfect the gift (see Letts v Inland Revenue Commissioners).

What does assigning equitable interest mean?

According to Lawpath, equitable interest “arises when there is an interest in the property, but no legal title exists.” It’s a broad term that covers an interest established through principles of fairness, rather than the true legal assignment of ownership.

Do you need to give notice of assignment?

Notices of assignment are, in some circumstances, optional. However, in other transactions they could be crucial to a lender’s enforcement strategy.

What is Section 40 of Indian contract Act?

Section 40 of Indian Contract Act 1872 : “Person by whom promise is to be performed” 40. If it appears from the nature of the case that it was the intention of the parties to any contract that any promise contained in it should be performed by the promiser himself, such promise must be performed by the promiser.

What is Section 39 of Indian contract Act?

39. When a party to a contract has refused to perform, or disabled himself from performing, his promise in its entirety, the promisee may put an end to the contract, unless he has signified, by words or conduct, his acquiescence in its continuance.

Who can serve notice of assignment?

When a leaseholder sells their interest in a property to someone else, it is vital that the landlord and management company are aware of the transfer. A Notice of Assignment must be served to the landlord or management company under the Law of Property Act 1925.

Can assignment be done without consideration?

The Delhi High Court has held that even in case of non-receipt of consideration for assignment of the trademark by the assignor, unless the entry made in the Trademark Register is removed by the appropriate authority, the assignor has no right to infringe the same very mark which is assigned by him.

What are the conditions for valid assignment?

Essential conditions of a valid notice are 1) it must be in writing 2) it must sufficiently identify the assignment in respect of which the notice is given. 3) the date of notice must be same as or subsequent to the date of execution of the assignment. 4) it must be signed by preferably Assignor/ Assignee.