Ira owes Jess $1,000. Kerr owes Ira $1,000. Ira unconditionally assigns to Jess the right to Kerr's payment. Jess's right to the $1,000 is subject to the defenses that

Question

Quizplus · Accepted Answer

Jess's right to the $1,000 from Kerr is subject to any defenses Kerr had against Ira because the assignment of a right does not alter the underlying obligations or defenses that the obligor (Kerr) has. Therefore, if Kerr had any defenses against paying Ira, those defenses can still be used against Jess.

Ira Owes Jess $1,000