Cession Cession by a lessee of his rights under a lease means a transfer of

Cession cession by a lessee of his rights under a

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when the original contract of lease comes to an end. Cession Cession by a lessee of his rights under a lease means a transfer of those rights to a third person. If there is no provision in a contract of lease prohibiting cession, a lessee may cede his or her rights to a third person like any other creditor. The effect of a cession is that the lessee ceases to be the creditor of the lessor and that the cessionary takes the lessee’s place as a creditor of the lessor. The cessionary then becomes entitled to exercise such rights as are ceded to him under the lease. However, it is important to note that the cessionary does not undertake the obligations of the cedent (the lessee) who, though no longer creditor, still remains a debtor under the lease. Thus, the rights, and not the obligations, of the lessee are ceded.
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Assignment The assignment of a lease (a term taken from English law) means the entire substitution of a new lessee for the old one. As assignment encompasses not only the cession of the lessee’s rights but also the delegation of his or her duties, a tripartite contract is required between the
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