An assignment is a transfer of rights that a party has under a contract to another person, called an assignee. The assigning party is called the assignor. If the obligor (person obligated to pay) is notified that there has been an assignment and that any money due must be paid to the assignee, the obligor's obligation can only be discharged by making payment to the assignee. In other words, payment to the assignor would not satisfy the contract after notice. If the obligor does not know of the assignment and makes payments to the assignor who does not turn the money over to the assignee, the assignee cannot sue the obligor, but does have a remedy against the assignor. However, if the obligor both knows of the assignment and has been notified to make future payments to the assignee, any payments made by the obligor to the assignor have no effect and do not reduce the debt of the obligor.
Missouri Notice of Assignment is a legal document used to inform a debtor that their debt has been assigned or transferred to another party. Also known as an Assignment of Debt Notification, it serves as official notice of the change in ownership or assignment of the debt. Various types of Missouri Notice of Assignment can exist depending on the nature of the debt and the parties involved. Here are some types commonly encountered: 1. Mortgage Notice of Assignment: This is used in cases where a mortgage lender or service assigns the ownership rights of a mortgage loan to another entity. It informs the borrower about the change and provides instructions on future payment submission. 2. Debt Collection Notice of Assignment: Typically used by debt collection agencies, this type of notice notifies the debtor that their debt has been assigned or transferred to a third-party collection agency for collection purposes. It details the outstanding balance and provides contact information for the new creditor. 3. Contract Assignment Notice: In situations where one party assigns their contractual rights and obligations to another party, a Contract Assignment Notice is used. This notice informs the other party to the original contract about the assignment and provides the new party's information for further communication or performance of obligations. 4. Account Assignment Notice: This type of notice is often utilized when a business sells or transfers its accounts receivable to a factoring company or another business entity. It informs the debtor, who owes payment to the original company, about the assignment and instructs them to remit future payments to a new payee. Regardless of the specific type, a Missouri Notice of Assignment typically includes key details such as the original creditor's name, the new creditor's name and contact information, the assigned debt amount, the account or loan number, and any additional instructions or requirements regarding future payments or communication. It is crucial to closely review and understand the content of the notice to ensure compliance and avoid any potential misunderstandings.
