When is an assignment of claims permitted?

By Anonymous on Saturday, April 07, 2001 - 03:09 pm:

An assignment claim is permitted after the contractor fulfills it obligation to the financial institution prior to contract completion and it has been confirm that the contract has been properly approved and executed, the contract is one under which claims may be assigned. The assignment covers only money due or to become due under the instant contract. The assignment itself is properly executed by those authorized. The assignment contains no indication of contractor release or disclosure of classified information.

By formerfed on Monday, April 09, 2001 - 07:43 am:

Generally, it's permissible in almost all contracts. The conditions usually are:

Payments are greater than $1,000;

The assignment is made to a financial institution such as a bank or trust company; and

The contract doesn't specifically prohibit it for some reason.

You can get more details at FAR 32.8