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A case for interfering with freedom of contract? An empirically-informed study of bans on assignment

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Beale, Hugh, Gullifer, Louise and Paterson, Sarah (2016) A case for interfering with freedom of contract? An empirically-informed study of bans on assignment. Journal of Business Law, 2016 (3). pp. 203-230.

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Abstract

This article is about clauses in the contracts between a business and its customer which prohibit the supplier assigning receivables arising under the contracts. These clauses are sometimes called “prohibitions on assignment”, sometimes “anti-assignment clauses”; but in the industry it seems most common to call them “bans on assignments” or BoAs. This is how we will refer to them in this article. There is an argument that BoAs do little for the customer while posing a serious problem for small suppliers, and only appear when the customer has the bargaining power to dictate the terms of the contract. This paper draws on empirical work to consider whether, notwithstanding English law’s commitment to commercial parties’ freedom to agree their own terms, there is a case for legislation to render BoAs in contracts for the supply of goods and services ineffective.

Item Type: Journal Article
Subjects: K Law [Moys] > KN Common Law, Private Law
Divisions: Faculty of Social Sciences > School of Law
Library of Congress Subject Headings (LCSH): Liberty of contract, Assignments (Law)
Journal or Publication Title: Journal of Business Law
Publisher: Sweet & Maxwell Ltd.
ISSN: 0021-9460
Official Date: April 2016
Dates:
DateEvent
April 2016Published
7 February 2016Accepted
Volume: 2016
Number: 3
Page Range: pp. 203-230
Status: Peer Reviewed
Publication Status: Published
Reuse Statement (publisher, data, author rights): This is a pre-copyedited, author-produced version of an article accepted for publication in Journal of Business Law following peer review. The definitive published version [insert complete citation information hereBeale, Hugh, Gullifer, Louise and Paterson, Sarah (2016) A case for interfering with freedom of contract? An empirically-informed study of bans of assignment. Journal of Business Law, 3. pp. 203-230. ISSN 0021-9460 is available online on Westlaw UK or from Thomson Reuters DocDel service .
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