Assignment (Contract)
A contract clause governing whether and how a party can transfer its contractual rights and obligations to another party: most construction contracts either prohibit assignment outright or require the other party's written consent, since each side is relying on the specific counterparty's capability and financial strength.
Why it matters
Without an anti-assignment clause, a general contractor could in theory transfer its obligations to a completely different, unvetted company mid-project: the clause protects the owner's (and the surety's) ability to control exactly who is actually performing the work they contracted for.
On a real project
A subcontract agreement includes a clause prohibiting the subcontractor from assigning the agreement to another company without the general contractor's written consent, so if the original subcontractor is acquired or wants to hand the work to a different firm, the GC has to approve the change first.
Who this matters most to
A Contracts Administrator reviews assignment clauses closely during mergers and acquisitions in the industry, since a company being acquired may need consent from every counterparty on every active contract before those contracts can transfer to the new corporate entity.
Where this goes wrong
A subcontractor is acquired by another company and the new parent company assumes the existing subcontract agreements transfer automatically. The original general contractor discovers the change and points to the contract's anti-assignment clause, which required their written consent first, creating a dispute over whether the subcontract is even still valid, right when the project needs that subcontractor's work to continue without interruption.