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If my company is not allowed to assign a contract, can I sell shares of my company instead?

If my company is not allowed to assign a contract, can I sell shares of my company instead?

If my company is not allowed to assign a contract, can I sell shares of my company instead? 150 150 Jiang Hong Wilkin Business Law

Many contracts have a clause restricting assignment. For example, in a lease contract, the landlord prohibits the tenant transferring the lease to a third party without consent of the landlord. Another example, in a service contract, the services cannot be taken over by a third-party service provider. These are the common terms. The house is to be leased to you. The services need to be provided by you. What if the tenant or the service provider transfers its own shares to a third party? The tenant or the service provider is still the party of the lease/service contract. The clause restricting assignment does not apply under this situation. If there is a clause in the lease or service contract restricting the change of control of the tenant or the service provider and requiring the tenant/service provider to obtain landlord’s/client’s consent for any change of control, then this loophole will be plugged.

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