Section 13 Performance in good faith where claim assigned subject to conditionI1 I2 C1

Scotland

(1)

Subsection (2) applies where—

(a)

a claim in respect of which an assignation document is granted is subject to a condition which must be satisfied before the claim is transferred,

(b)

the claim has not yet been transferred by virtue only of the condition not yet being satisfied, and

(c)

the debtor, or any co-debtor, performs in good faith to the assignee.

(2)

The debtor, or (where there are two or more co-debtors) each of the co-debtors, is discharged from the claim to the extent of the performance.

(3)

Section 10(3) applies for the purposes of subsection (2) as it applies for the purposes of section 10(2).

Annotations

C1: Pt. 1 extended (with modifications) (1.4.2025) by The Moveable Transactions (Scotland) Act 2023 (Financial Collateral Arrangements and Financial Instruments) (Consequential Provisions and Modifications) Order 2025 (S.I. 2025/275), arts. 1(2), 3 (with arts. 4, 20)