Question

(a) When an anti-assignment clause exists in a contract, a court will not enforce it because it is against public policy.

Answer 1

Answer:

a. FALSE

b. A contract cannot forbid the assignment of the right to receive funds . Assignments also cannot be restricted for the transfer of real estate , also called a restraint against alienation . A contract cannot prohibit the assignment of checks or promissory notes, also called negotiable instruments . The right to receive damages in a contract for the sale of goods also can be assigned, even if the contract forbids it.