Unformatted text preview: however, exceptions, such as when the contract expressly and specifically prohibits or limits the right of assignment. Because of the principle of freedom of contract, this type of prohibition is enforced—unless it is deemed contrary to public policy. For example, courts have held that a prohibition clause against assignment that restrains the alienation of property is invalid by virtue of being against public policy. Authorities differ on how a case like Aron’s should be de-cided. Some courts would enforce the prohibition completely, holding that Aron’s assignment to Erica is completely ineffective without the landlord’s consent. Others would permit the assignment to be effective, with the landlord’s remedies limited to the normal contract remedies ensuing from Aron’s breach....
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This note was uploaded on 11/21/2011 for the course MGMT 4324 taught by Professor Tim during the Spring '11 term at Andhra University.
- Spring '11
- Business Law