Paradise Publishing Inc Entered into a Contract with Carol Chambers,a

Question

Examlex · Accepted Answer

The Answer is Paradise is half right and half wrong.Unless its contract with Carol prohibited such an arrangement,she was entitled to assign her rights under that agreement.She therefore was entitled to immediately sell her right to receive $50 000 on July 1 to Nigel.The law generally allows an assignment of contractual rights because it should not matter to the debtor (Paradise)to whom it is obliged to pay.In contrast,as a general rule,contractual obligations cannot be assigned.An exception exists that allows for vicarious performance if an obligation is non-personal-ie if it does not matter who exactly performs it.That is usually True,for instance,when a contractor arranges for a sub-contractor to install plumbing in a new house.The homeowner does not care precisely who undertakes the various tasks associated with the project.Vicarious performance is not allowed,however,if the identity of the performing party is significant.That would be True in the present case.Paradise can legitimately object to receiving a novel written by Jose,rather than Carol.The publisher presumably contracted with Carol because it had a favourable impression of her abilities.Carol therefore cannot assign her obligation to write the second novel to Jose.

Paradise Publishing Inc Entered into a Contract with Carol Chambers,a

Definitions: