B is corrent. Generally, a party’s rights in a contract are assignable and duties are delegable. However, there are three exceptions: (1) when the contract involves personal services, trust, or confidence; (2) when a provision of the contract or a statute prohibits assignment or delegation; and (3) if assignment would materially change the risk or burden of the obligor. Because the contract between Egan and Yost for the sale of real property does not constitute one of the three exceptions to the right of assignment, Yost’s rights are generally assignable.
A is incorrect. Generally, a party’s rights in a contract are assignable and duties are delegable. However, there are three exceptions: (1) when the contract involves personal services, trust, or confidence; (2) when a provision of the contract or a statute prohibits assignment or delegation; and (3) if assignment would materially change the risk or burden of the obligor. Because the contract between Egan and Yost for the sale of real property does not constitute one of the three exceptions to the right of assignment, Yost’s rights are generally assignable.
C is incorrect. Even if the rights are personal to Yost, Yost could assign rights that are personal to him. Yost could not, however, assign rights that are personal to Egan.
D is incorrect. The right to purchase real property is not forbidden to anyone as a matter of law; therefore Yost may assign the right to purchase property.
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