Commentary

41.11 Drafting points—delegation and subcontracting; successors and assigns

BOILERPLATE AND COMMERCIAL CLAUSES vol 4(3)
| Commentary

41.11 Drafting points—delegation and subcontracting; successors and assigns

| Commentary

41.11 Drafting points—delegation and subcontracting; successors and assigns

Although a party’s obligations may only be transferred with the consent of another party, the party can usually delegate or subcontract its obligations as long as the contracting party remains responsible for those obligations to the other contracting party1. It may be necessary for the parties to decide whether one party wishes to allow sub-contracting and on what terms.

The traditional position with commercial leases was that, following an assignment, both the assignor and the assignee were liable under the lease, that is, not just the assignee. In ordinary commercial contracts this has

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