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Real estate glossaryNational exam concept

Assignment

An assignment transfers a party's contractual rights to another person, the assignee, without necessarily releasing the original party from contractual obligations.

Exam area: Contracts

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What does “assignment” mean in real estate?

An assignment transfers a party's contractual rights to another person, the assignee, without necessarily releasing the original party from contractual obligations.

How is “assignment” different from the closest wrong answer?

Assignment transfers rights. Delegation transfers duties. Novation substitutes a party or obligation with agreement and releases the replaced obligor.

What is the Georgia-specific rule?

The contract controls whether assignment is permitted, restricted, or requires consent. An assignee takes only the rights the assignor could transfer.

Worked exam example

Scenario

A buyer transfers the right to purchase under an assignable contract to an investor, but the seller has not agreed to release the original buyer from liability.

What is the most common exam trap?

Trap correction

A new person performing does not prove the original party was released.

Original exam check

Apply the definition

A buyer transfers the rights under an assignable purchase contract to an investor. The seller never agrees to release the original buyer. If the investor fails to close, whom can the seller hold to the contract?

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Recommended next complete lesson

Continue with Contracts complete lesson. It places this term inside the full rule, worked examples, exam traps, and mixed practice required for mastery.