How do I assign a claim or cause of action?
Published by a lexisnexis dispute resolution expert.
This Practice Note considers how you may assign a claim or cause of action in law or in equity , including the specific issues to consider when drafting the assignment, such as recoverable losses and costs liability post-assignment.
For guidance on when you may assign a claim or cause of action, see Practice Note: In what circumstances can you assign a claim or cause of action?
Note : in this Practice Note, we refer to the assignment of both causes of action and claims. We define a cause of action as ‘...a factual situation the existence of which entitles one person to obtain from the court a remedy against another person’ ( Letang v Cooper ) and a claim as the formal assertion of a cause of action by a claimant against a defendant. In the authorities , the phrases 'assigning a cause of action' and 'assigning a claim' are sometimes used interchangeably. For the purposes of this Practice Note, unless the context indicates otherwise, we refer to:
assigning ‘causes of action’ when
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Related legal acts:
- Copyright, Designs and Patents Act 1988 (1988 c 48)
- Law of Property Act 1925 (1925 c 20)
Key definition:
Equity definition, what does equity mean.
Capital that is used to finance companies in the form of ordinary share capital as opposed to debt finance. The term is also sometimes used to describe preference shares or subordinated loan capital contributed by equity investors (commonly known as quasi-equity) to distinguish it from third party debt.
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