assignment of claims contractor

Assignment of Claim after a Loss: What Homeowners Should Know

Let’s start with the basics. If you, as a homeowner, sustain property damage or losses because of a covered event (like a fire, for example), you will need your home repaired. You choose a contractor or restoration company to do the work – but the check from the insurance company has not come through yet, and you need them to start right away. So, what can you do?

You can sign an “assignment of claim,” which assigns your rights (as the policyholder) to benefits and proceeds from the loss, to the company or contractors. In the simplest of terms, the assignment of claim allows your contractor to get paid directly from the insurance company.

What is the anti-transfer clause in insurance?

However, many contractors and purchasers of the damaged property have found themselves in a tight spot over the years, because of something called the anti-transfer clause. As explained on the Tennessee Insurance Litigation Blog ,  the anti-transfer clause usually reads something like this: “Your rights and duties under this policy may not be transferred without our written consent except in the case of death of an individual named insured.” Sometimes, the insurance company requires written consent before an assignment of claim can be made.

This clause routinely allows insurers to deny payments to contractors – but it shouldn’t, when an assignment of claim is made post-loss.

What’s the difference between pre-loss vs. post-loss assignments?

The Courts of Tennessee have routinely ruled on behalf of contractors and purchasers who were assigned the claim after the loss occurred. That is because the original assignee – the homeowner – was approved by the insurance company in the first place, and because the damage occurred regardless. There was no additional risk for the insurance company. Therefore, even if the contractor has a long and storied history of rule-breaking (or even criminal activity), the homeowner can assign the claim however he or she chooses; after all, the loss already happened.

Where insurance companies can (and do) have a leg up is for pre-loss assignments. The insurance company underwrote the risk on Bob and Jane Homeowner because it felt confident enough to do so. Bob and Jane cannot assign their policy to another person without the approval of the insurer, even when no loss has occurred.

Even if there is an anti-transfer clause in your policy, the chances are very good that a post-loss assignment cannot be legally denied by your insurer. If it is, seek out an experienced insurance dispute lawyer to help you argue the denial.

One last note for Tennessee policyholders

In some cases, the insurance company may decide that the amount of your loss is worth less than the cost of the renovations for which the contractor is charging. If this happens, you could be on the hook for the remainder of the costs, depending, of course, on the language of the deal with your contractor.

Because of this risk, it’s wise to contact an attorney before making any decisions. Get informed about your rights from the start, and let your lawyer address any potential hiccups along the way. If your insurer lowballs your claim, your attorney can  handle the dispute , to ensure that you are compensated fairly.

At McWherter Scott & Bobbitt, we have spent years fighting against unfair insurance claims policies in Tennessee and Mississippi. Let  Brandon McWherter ,  Jonathan Bobbitt  and  Clint Scott   put their knowledge and experience to work for you. Please call  731-664-1340 or fill out our  contact form . We maintain offices in Nashville, Chattanooga, Memphis, Jackson and Knoxville.

Brandon McWherter has dedicated his practice to assisting insurance policyholders with their claims against insurance companies, including claims for bad faith. He is licensed in Tennessee, Arkansas, and Mississippi. Learn More

48 CFR § 32.304-5 - Assignment of claims under contracts.

(a) The agency shall generally require a contractor that is provided a guaranteed loan to execute an assignment of claims under defense production contracts (including any contracts entered into during the term of the guaranteed loan that are eligible for financing under the loan); however, the agency need not require assignment if any of the following conditions are present:

(1) The contractor's financial condition is so strong that the protection to the Government provided by an assignment of claims is unnecessary.

(2) In connection with the assignment of claims under a major contract , the increased protection of the loan that would be provided by the assignments under additional, relatively smaller contracts is not considered necessary by the agency.

(3) The assignment of claims would create an administrative burden disproportionate to the protection required; e.g. , if the contractor has a large number of contracts with individually small dollar amounts.

(b) The contractor shall also execute an assignment of claims if requested to do so by the guarantor or the financing institution.

(c) A subcontract or purchase order issued to a subcontractor shall not be considered eligible for financing under guaranteed loans when the issuer of the subcontract or purchase order reserves (1) the privilege of making payments directly to the assignor or to the assignor and assignee jointly, after notice of the assignment, or (2) the right to reduce or set off assigned proceeds under defense production contracts by reason of claims against the borrower arising after notice of assignment and independently of defense production contracts under which the borrower is the seller.

An official website of the United States government

Here's how you know

Official websites use .gov A .gov website belongs to an official government organization in the United States.

Secure .gov websites use HTTPS A lock ( Lock A locked padlock ) or https:// means you’ve safely connected to the .gov website. Share sensitive information only on official, secure websites.

• The Attorney General
• Organizational Chart
• Budget & Performance
• Privacy Program
• Press Releases
• Photo Galleries
• Guidance Documents
• Publications
• Information for Victims in Large Cases
• Justice Manual
• Business and Contracts
• Why Justice ?
• DOJ Vacancies
• Legal Careers at DOJ

Government Contractor Settles Claims That It Billed for Personnel Who Lacked Required Security Clearances

ALEXANDRIA, Va. – Deloitte Consulting LLP, located in New York, agreed to pay $220,885.77 to settle claims that it billed the Department of Health and Human Services, Program Support Center (HHS-PSC) for labor performed by personnel who did not possess the security clearances required by a government contract.

Deloitte Consulting submitted a written contractor disclosure to HHS-PSC. Specifically, the disclosure stated that Deloitte Consulting was unable to validate the clearance status of seven employees who performed work on a contract awarded by HHS-PSC. As a result, Deloitte Consulting considered those employees not to have met the base clearance level in the contract. Following an investigation by the U.S. Attorney’s Office, Deloitte Consulting agreed to pay the amounts billed for personnel whose clearance status could not be validated.

Deloitte Consulting received full credit under the Department of Justice’s guidelines for taking disclosure, cooperation, and remediation into account: Justice Manual § 4-4.112 .

The resolution obtained in this matter was the result of a coordinated effort between the U.S. Attorney’s Office for the Eastern District of Virginia; the Department of Health and Human Services, Office of General Counsel; the Department of Health and Human Services, Office of Inspector General; Department of Defense, Office of Inspector General, Defense Criminal Investigative Service’s Mid-Atlantic Field Office; Department of the Army Criminal Investigation Division, Fraud Field Office; and the Naval Criminal Investigative Service – Economic Crimes Field Office, Washington, DC.

This matter was investigated by Assistant U.S. Attorney Tanya Kapoor.

The civil claims settled by this agreement are allegations only; there has been no determination of civil liability.

Press Officer [email protected]

Related Content

Jose Manuel Santiago, 43, of Sarasota, Florida, was sentenced to three years in prison today for stealing people’s identities and selling their homes.

Argus Information & Advisory Services, Inc. (Argus) has agreed to pay the United States $37 million to resolve claims under the False Claims Act and the Financial Institutions Reform, Recovery...

A Detroit man was sentenced yesterday to six years in prison for fraudulently conspiring to obtain over $650,000 in advance fees from borrowers seeking real estate loans.

Dana Perino Is Leaving Fox News' 'The Five' Due to 'Tensions' with Sean Hannity?

"hannity was outraged and expressed his intention to sue perino and fox for violating his contract and driving away sponsors," an online article said., jordan liles, published may 21, 2024.

About this rating

On May 19, 2024, Meta approved and accepted money for at least one ad displayed to Facebook and Instagram users claiming Dana Perino — a former White House press secretary for U.S. President George W. Bush — announced her departure as one of the hosts of the Fox News TV show "The Five."

A right-column version of the ad served to Facebook users read, "It's Official: We Say Farewell To Dana Perino."

A different version of the ad displayed in users' news feeds also included the words, "A sad end to a brilliant career."

The ads led to an article on the website freshdailydrive.com. The link first routed through falcondownholesolutions.com before redirecting to freshdailydrive.com.

The headline of the article read, "Dana Perino Leaves 'The Five' and Sparks Major Lawsuit Against Fox: Her Response on Air." According to the story, Perino created a product with the ability to "reverse dementia" named Fortin CBD Gummies. The product purportedly clashed with sponsors of Sean Hannity's show, leading to "tensions" with the fellow Fox News host.

However, Perino was not leaving "The Five." She has no involvement with CBD gummies. Further, the "tensions" with Hannity were made up. The article was both false and a scam.

Scammers designed the article on freshdailydrive.com to resemble the layout of articles on the real Fox News website. In other words, they intended to fool users into believing they were reading an article on FoxNews.com. The scam article began as follows:

(Fox) - In an Exclusive Interview, Dana Perino, the renowned former White House Press Secretary, political commentator, and businesswoman, announced that she would be leaving 'The Five' due to recent tensions with Sean Hannity, caused by her latest business venture. Last week, during a heated episode, the popular conservative host, Dana Perino, made headlines by unveiling her new CBD line live on 'The Five'. Sean Hannity was outraged and expressed his intention to sue Dana Perino and Fox for violating his contract and allegedly driving away sponsors. Dana Perino responded with the following statement: "I understand that Sean is simply targeting my timeslot. I refuse to succumb to 'Cancel Culture.' When I embarked on this journey back in 2022, it was initially a part-time passion project and my way of giving back. Having received so much, I believed there was no better time to make Fortin CBD Gummies accessible to everyone, as it has the potential to help thousands of individuals live pain-free and happier lives." Dana Perino's product, Fortin CBD Gummies, has been selling like hotcakes, with stocks depleting within minutes. She admits that her main challenge as CEO is meeting the overwhelming demand. Her CBD wellness line is not only 90% cheaper but also five times more effective than similar offerings from Bayer and other "Big Pharma" companies. Sean Hannity was infuriated upon learning that multiple sponsors were suing Fox News Network. Sean is now calling for Dana Perino's indictment, stating, "While I am pleased that Dana Perino found an alternative to prescription medications, her announcement directly violated our contract. Fox News should terminate her immediately, and she owes us a formal apology."

The article later falsely claimed fellow Fox News host Jesse Watters backed Perino and her CBD gummies product. To be clear, no famous person has endorsed "miracle" CBD gummies for supposedly "instantly and permanently [reversing] dementia." The website for the British Alzheimer's Society once published, "There are no research studies that prove cannabis, or products such as cannabis oil (CBD oil), can stop, slow, reverse or prevent the diseases that cause dementia."

We previously reported on the fact scammers improperly featured other famous people as purportedly endorsing  CBD gummies  for various medical issues, as well as keto ACV gummies  supposedly for weight loss. Such rumors have targeted former Fox News host Tucker Carlson , singer-songwriter and TV show host Kelly Clarkson , tech entrepreneur Elon Musk  and ABC News chief health and medical correspondent Dr. Jennifer Ashton .

"Cannabis, CBD Oil and Dementia." Alzheimer's Society , https://www.alzheimers.org.uk/about-dementia/treatments/alternative-therapies/cannabis-cbd-oil-and-dementia.

"White House Press Secretary | Definition & History | Britannica."  Brittanica.com , https://www.britannica.com/topic/White-House-press-secretary.

By Jordan Liles

Jordan Liles is a Senior Reporter who has been with Snopes since 2016.

Article Tags

NJ Real Estate Firms Win Independent Contractor Class Action (1)

By Alex Ebert

Roughly 60,000 New Jersey real estate agents are barred from bringing claims that they were stiffed millions of dollars due to their alleged misclassification as independent contractors, the state high court ruled Monday.

An update in 2022 to the state’s independent contractor laws can block real estate agents from suing for state wage violation claims even if they might be able to win under prior court precedent, the New Jersey Supreme Court ruled , effectively applying the law retroactively.

“The Legislature’s use of the word ‘notwithstanding’ is significant” and shows the “intention that the provisions of the ‘notwithstanding’ section override ...

Learn more about Bloomberg Law or Log In to keep reading:

Learn about bloomberg law.

AI-powered legal analytics, workflow tools and premium legal & business news.

Already a subscriber?

Log in to keep reading or access research tools.

Former Miss USA staffer says organization caused pageant winners' mental health to decline

For the first time in its 70-year history, both of the reigning Miss USA and Miss Teen USA titleholders resigned from their positions this past week, and a former social media manager for the organization claims a "toxic workplace" and leadership are to blame.

Claudia Engelhardt , who says she was hired as the Miss USA social media director earlier this year, reveals she resigned from her role last week due to leadership's "disrespect" toward her and titleholders Noelia Voigt (Miss USA 2023) and UmaSofia Srivastava (Miss Teen USA 2023). Voigt and Srivastava's concerns about their mental health and an incident of sexual harassment went unheeded, Engelhardt tells USA TODAY.

"This stepping down of Noelia and Uma is a direct response to the current ownership and current management of the Miss USA brand," she tells USA TODAY. "They are the ones that are responsible for Noelia and Uma's mental health decline. And it was documented that they knew it and they did nothing about it."

Voigt said she stepped down due to mental health issues and Srivastava said her values "no longer fully align" with those of the pageant.

In Voigt's Miss USA resignation letter , which was obtained by NBC News Thursday, she reportedly said she would "constantly be threatened with disciplinary action, including taking away my salary, for things that were never discussed with me and, if it related to a public-facing post for example, were causing no issue other than not meeting (Rose's) personal preference."

Need a break? Play the USA TODAY Daily Crossword Puzzle.

As a result, Voigt reportedly said in the letter that she was diagnosed with anxiety.

USA TODAY has reached out to the Miss USA Organization for comment.

In a statement shared with USA TODAY on Wednesday in response to Srivastava's resignation, Miss USA CEO and President Laylah Rose said, "Our all-encompassing goal at Miss USA is to celebrate and empower women. Our participants make a real difference in this country and around the globe."

Rose's statement continued, "All along, my personal goal as the head of this organization has been to inspire women to always create new dreams, have the courage to explore it all, and continue to preserve integrity along the way. I hold myself to these same high standards and I take these allegations seriously. Please be assured that the well-being of all individuals associated with Miss USA is my top priority."

Engelhardt, who owns a digital marketing agency and has earned a handful of titles from competing in non-Miss USA pageants, says she made the "very tough decision" to leave what she calls a "dream job" with Miss USA after two of her colleagues were let go in late April.

"Them doing that actually was the start of the downfall, if I'm being honest," she says of the staffers' exits from the organization. Of her own departure, Engelhardt says, "I was disrespected at my own job. … And then to see the way that they were treating the titleholders, I was like, you know what? Enough is enough."

The social media manager says she was brought on board in January assuming she would be doing pro bono freelance work and and ultimately did not receive any compensation until April.

Miss USA, Miss Teen USA are reportedly bound by an 'airtight' contract

The week after the organization allegedly parted ways with two employees, Miss USA suffered a historic blow when, on Monday, Voigt said in a statement posted to Instagram that she was relinquishing her Miss USA crown to preserve her mental health. Two days later, Srivastava shared her own resignation in an Instagram post , citing the fact that "my personal values no longer fully align with the direction of the organization."

However, in Voigt's post, social media users noticed what they thought was a secret message, with the first letter of  each sentence of her statement spelling out the phrase "I AM SILENCED" — though this discounts the last three sentences, the first letters of which spell "HIP."

According Engelhardt, the titleholders signed contracts that prevent them from speaking out about their experiences in order to compete in their respective pageants. Denise White, who has been working with Voigt and Srivastava since their resignations, confirmed to USA TODAY that the former titleholders are bound by nondisclosure agreements "that are ironclad and in perpetuity."

USA TODAY has requested details regarding the contents of the titleholders' contracts from the Miss USA Organization.

Having not signed such an agreement herself, Engelhardt feels compelled to voice her concerns about the organization.

"The owner (Rose) would constantly weaponize the contract that Noelia signed, the most airtight, egregious, binding contract you'd probably ever see," Engelhardt says. "She would copy and paste every single little clause anytime Noelia would do something that she didn't like and say, 'Well, per your contract, if you don't fix this that I didn't tell you about, we're going to withhold your salary.'"

She adds, "And I don't know about you, but to have to live with that all the time, that is the definition of a toxic workplace."

In Voigt's Miss USA resignation letter, which was obtained by NBC News , she said that as a result of the monitoring of her @missusa posts, "I am now diagnosed with Anxiety and have to take two medications daily to manage the symptoms due to consistently being on edge, worrying about what Laylah will pop up with and choose to harass me about daily."

"To me, it's ironic that this is a women's empowerment organization and you're having a clause in your contract that's silencing your women," Engelhardt says. "Let's really look at the big picture here and say, 'Why would you need such a binding, silencing section of this contract if you weren't doing anything wrong?'"

Miss USA contestants speak out: Class of 2023 calls for full transparency' amid Noelia Voigt's departure

'Nothing was done' by Miss USA leadership about a sexual harassment incident

Engelhardt believes Miss USA leadership didn't treat their titleholders with the respect they deserved.

She claims the Miss Universe organization was aware of Voigt's concerns about Rose and how they affected her mental health. She also says that after Voigt experienced someone saying "something that she did not feel comfortable with" – which was relayed to her handler at the event – "nothing was done."

Rose said, 'Well, we can't control what other people say, so, like, deal with it,'" Engelhardt says.

In Voigt's Miss USA resignation letter, per NBC News, she said she'd been sexually harassed at a Christmas event, where a man "made several inappropriate statements to me about his desire to enter into a relationship with me" while they were in a car.

When Rose was informed of the incident, Voigt says, she'd responded was that it was par for the course for the job.

USA TODAY has asked the Miss USA Organization to comment on claims that the titleholders' concerns about their wellbeing going unaddressed.

Miss USA, Miss Teen USA were allegedly prevented from posting on their Instagram accounts

Another way the organization suppressed its titleholders, Engelhardt says, is by taking away their access to the @missusa and @missteenusa accounts.

Typically, pageant winners post on the reigning titleholder's account, as well as their own personal pages, to share their latest efforts.

She claims Rose would sometimes use these media accounts herself, block certain users and "censor comments" or post comments as if she were Voigt.

On April 12, Miss USA and Miss Teen USA announced there had been a "reorganization" that led to "reevaluating our social media processes. Moving forward, to ensure consistent content the Miss USA and Miss Teen USA organization pages will be run by the brand, following industry standards."

"I have yet to see those rules — and I was the social media director," Engelhardt says. "She would constantly make up new social media rules. Or 'This has to be posted from this page, and you can't tag this person and you can't do that.'"

"It was just very messy," Engelhardt says. "From a social media perspective, it was just a complete nightmare."

Miss USA 'will not survive' under current leadership

One solution amid such high-profile departures, Engelhardt says, is for the Miss USA Organization to implement "an owner with a board of directors that are trusted, that know what they're doing and that have the best interests — and especially the best mental health interests — of these girls."

This is necessary for the pageant to survive in an industry with a long history of controversies , she says.

"I don't know how much more obvious things can get that with this current leadership, this brand will not survive," Engelhardt says. "I need it to. I want it to. I'm a fan and supporter of this brand, which is why I'm here advocating for its survival, pretty much. And the only way that's going to happen is if current management is not there."

She says being a titleholder can be an "extremely rewarding" experience and should be "the best year of your life" — with the right director and leadership.

Voigt reportedly said in her resignation letter that "there is a toxic work environment within the Miss USA Organization that, at best, is poor management and, at worst, is bullying and harassment," according to NBC News.

Deep dive: Beauty pageants' controversial history, industry changes

Miss Hawaii USA Savannah Gankiewicz is the new Miss USA titleholder

On Thursday, Miss USA announced that Miss Hawaii USA Savannah Gankiewicz, who was the runner-up last year, has stepped in to complete the final three months of Voigt's vacated seat.

"I fully support and respect Noelia's decision to step down, and I stand in solidarity with mental health awareness," Gankiewicz said in a statement shared on social media. She added, "To my fellow Miss USA sisters, I believe it's crucial for us to stand united for the future of the organization and the incoming class of 2024 and beyond.

"I pledge my wholehearted support to the new delegates who have dedicated themselves to their state pageants, and I am committed to ensuring a seamless and memorable transition between Miss USA titleholders."

Comments were limited on the joint post, which was a collaborative effort by the Miss USA, Miss Hawaii USA and Gankiewicz 's Instagram accounts.

Shortly after Miss USA's announcement Thursday, Srivastava shared a post on her Instagram story that quotes Michelle Obama's famous motto, "When they go low, we go high."

She also shared a message: "Please do not send hate to anyone, while we can't control what is said about us, we can control what we say about others. Even if that means overlooking attacks on one's character."

• SI SWIMSUIT
• SI SPORTSBOOK

Houston Astros Sign Former Double-Digit Winning Starting Pitcher

Brad wakai | may 20, 2024.

• Houston Astros

Pitching has been the major point of conversation that has surrounded the Houston Astros to start this year.

With virtually every one of their expected starters picking up an injury and missing time already, the front office had to be going over different options they could draw upon for pitching depth after their minor leaguers looked overwhelmed when facing MLB hitters.

That's why their move to trade Brandon Bielak away to their divisional opponent Oakland Athletics was met with some raised eyebrows.

However, the Astros were able to add someone back to their organization.

According to Chandler Rome of The Athletic , they signed free agent Eric Lauer to a minor league deal and sent him to their Triple-A affiliate. The left-hander will get paid $1.5 million if he makes it the Majors and also has opt-out clauses in his contract on both July and August 1.

The 28-year-old was a first round pick of the San Diego Padres in 2016 and was considered one of their top prospects before making his debut two seasons later. During his rookie year in 2018, he started 23 games and posted a 4.34 ERA.

He was later traded to the Milwaukee Brewers where he spent four seasons.

Lauer performed better during this stint, posting an ERA of 4.22 and ERA+ of 98, but his two best years came in 2021 and 2022 where he posted his career-low ERA of 3.19 in 2021 and his most single-season wins in 2022 with 11.

After struggling last year, he was designated for assignment and elected to hit free agency.

Now, Houston will get an opportunity to see if they can get the best out of the former first round talent if the opportunity presents itself.

Whether that's in their starting rotation or bullpen will be seen.

Brad Wakai graduated from Penn State University with a degree in Journalism. While an undergrad, he did work at the student radio station covering different Penn State athletic programs like football, basketball, volleyball, soccer and other sports. Brad currently covers the Philadelphia Phillies, Chicago Cubs and Houston Astros for Sports Illustrated/FanNation. He is also the Lead Contributor for Nittany Lions Wire of Gannett Media where he continues to cover Penn State athletics. Brad is the host of the sports podcast I Said What I Said, discussing topics across the NFL, College Football, the NBA and other sports. You can follow him on Twitter: @bwakai

FAC Number: 2024-05 Effective Date: 05/22/2024

32.805 Procedure.

(a) Assignments.

(1) Assignments by corporations shall be-

(i) Executed by an authorized representative;

(ii) Attested by the secretary or the assistant secretary of the corporation; and

(iii) Impressed with the corporate seal or accompanied by a true copy of the resolution of the corporation’s board of directors authorizing the signing representative to execute the assignment.

(2) Assignments by a partnership may be signed by one partner, if the assignment is accompanied by adequate evidence that the signer is a general partner of the partnership and is authorized to execute assignments on behalf of the partner-ship.

(3) Assignments by an individual shall be signed by that individual and the signature acknowledged before a notary public or other person authorized to administer oaths.

(b) Filing. The assignee shall forward to each party specified in 32.802 (e) an original and three copies of the notice of assignment, together with one true copy of the instrument of assignment. The true copy shall be a certified duplicate or photostat copy of the original assignment.

(c) Format for notice of assignment. The following is a suggested format for use by an assignee in providing the notice of assignment required by 32.802 (e).

Notice of Assignment

To: ___________ [ Address to one of the parties specified in 32.802 (e) ].

This has reference to Contract No. __________ dated ______, entered into between ______ [ Contractor’s name and address ] and ______ [ Government agency, name of office, and address ], for ________ [ Describe nature of the contract ].

Moneys due or to become due under the contract described above have been assigned to the undersigned under the provisions of the Assignment of Claims Act of1940, as amended, ( 31 U.S.C.3727 , 41 U.S.C.6305 ).

A true copy of the instrument of assignment executed by the Contractor on ___________ [ Date ], is attached to the original notice.

Payments due or to become due under this contract should be made to the undersigned assignee.

Please return to the undersigned the three enclosed copies of this notice with appropriate notations showing the date and hour of receipt, and signed by the person acknowledging receipt on behalf of the addressee.

Very truly yours,

__________________________________________________ [ Name of Assignee ]

By _______________________________________________ [ Signature of Signing Officer ]

__________________________________________________ [ Titleof Signing Officer ]

__________________________________________________ [ Address of Assignee ]

Acknowledgement

Receipt is acknowledged of the above notice and of a copy of the instrument of assignment. They were received ____(a.m.) (p.m.) on ______, 20___.

__________________________________________________ [ Signature ]

__________________________________________________ [ Title ]

__________________________________________________ On behalf of

__________________________________________________ [ Name of Addressee of this Notice ]

(d) Examination by the Government. In examining and processing notices of assignment and before acknowledging their receipt, contracting officers should assure that the following conditions and any additional conditions specified in agency regulations, have been met:

(1) The contract has been properly approved and executed.

(2) The contract is one under which claims may be assigned.

(3) The assignment covers only money due or to become due under the contract.

(4) The assignee is registered separately in the System for Award Management unless one of the exceptions in 4.1102 applies.

(e) Release of assignment.

(1) A release of an assignment is required whenever-

(i) There has been a further assignment or reassignment under the Act; or

(ii) The contractor wishes to reestablish its right to receive further payments after the contractor’s obligations to the assignee have been satisfied and a balance remains due under the contract.

(2) The assignee, under a further assignment or reassignment, in order to establish a right to receive payment from the Government, must file with the addressees listed in 32.802 (e) a-

(i) Written notice of release of the contractor by the assigning financing institution;

(ii) Copy of the release instrument;

(iii) Written notice of the further assignment or reassignment; and

(iv) Copy of the further assignment or reassignment instrument.

(3) If the assignee releases the contractor from an assignment of claims under a contract, the contractor, in order to establish a right to receive payment of the balance due under the contract, must file a written notice of release together with a true copy of the release of assignment instrument with the addressees noted in 32.802 (e).

(4) The addressee of a notice of release of assignment or the official acting on behalf of that addressee shall acknowledge receipt of the notice.

Definitions

FAC Changes

Style Formatter

• Data Initiatives
• Regulations
• Smart Matrix
• Regulations Search
• Acquisition Regulation Comparator (ARC)
• Large Agencies
• Small Agencies
• CAOC History
• CAOC Charter
• Civilian Agency Acquisition Council (CAAC)
• Federal Acquisition Regulatory Council
• Interagency Suspension and Debarment Committee (ISDC)

ACQUISITION.GOV

An official website of the General Services Administration