Sally and Matteo enter into a contract in which Matteo agrees to paint a picture of a ship and Sally promises to pay $100 to Matteo for the painting. Matteo paints the picture of a ship, but assigns the right to collect payment of the $100 to Felipe. Is Matteo's assignment legally valid?
A) Yes, because the right to payment can always be assigned.
B) Yes, because the contract was not one for personal services.
C) No, because the right to payment can never be assigned.
D) No, because the contract was one for personal service.
E) No, because it would increase the burden on Sally to pay Felipe instead of Matteo.

Question

Quizplus · Accepted Answer

The right to payment is generally assignable unless the contract specifically prohibits assignment or it would materially change the duty of the obligor. In this case, the assignment of the right to payment does not increase the burden on Sally, so it is valid.

Sally and Matteo Enter into a Contract in Which Matteo