Question

Sally and Matteo enter into a contract in which Matteo agrees to paint a picture of a ship, and Sally promises to pay $100 to Matteo for the painting. Matteo paints the picture of a ship but assigns the right to collect payment of the $100 to Felipe. Is Matteo's assignment legally valid?

a. Yes, because the rights to payment can always be assigned.

b. Yes, because the contract was not one for personal services.

c. No, because it would increase the burden on Sally to pay Felipe instead of Matteo.

Answer 1

The correct answer is c. No, because it would increase the burden on Sally to pay Felipe instead of Matteo.

Step-by-step explanation:

In this case, Sally and Matteo entered into a contract where Matteo agreed to paint a picture of a ship in exchange for $100 from Sally. However, Matteo assigned the right to collect payment to Felipe instead of collecting it directly from Sally. This assignment is not legally valid because it increases the burden on Sally to pay Felipe instead of the original party, Matteo.

Assignments of rights in contracts are generally valid, but in this case, the assignment significantly changes the original terms of the contract and puts an additional burden on Sally. Therefore, the assignment is not legally valid.