assignment of proceeds bedeutung

• Search Search Please fill out this field.
• Corporate Finance
• Corporate Finance Basics

Assignment of Proceeds: Meaning, Pros and Cons, Example

Diane Costagliola is a researcher, librarian, instructor, and writer who has published articles on personal finance, home buying, and foreclosure.

Investopedia / Jiaqi Zhou

What Is an Assignment of Proceeds?

An assignment of proceeds occurs when a beneficiary transfers all or part of the proceeds from a letter of credit to a third-party beneficiary . Assigning the proceeds from a letter of credit can be utilized in many types of scenarios, such as to pay suppliers or vendors in a business transaction or to settle other debts.

Key Takeaways

• An assignment of proceeds can be used to redirect funds from a line of credit to a third party.
• An assignment of proceeds must be approved by the financial institution that granted the line of credit following a request and fulfillment of any obligations by the original beneficiary.
• A benefit of this type of transaction is the ability to redirect only a portion of the proceeds, in which case both the original beneficiary and third party can access the same letter of credit.
• A drawback of this type of transaction is that the original beneficiary is still responsible for fulfilling all requirements under the letter of credit, even when the funds are redirected to the third party.
• This type of transaction is used in a number of circumstances, such as when paying suppliers or vendors, or when settling outstanding debts.

Understanding an Assignment of Proceeds

A letter of credit is a letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. In the event that the buyer is unable to make a payment on the purchase, the bank will be required to cover the full or remaining amount of the purchase. The original beneficiary, the named party who is entitled to receive the proceeds from a letter of credit, may choose to have them delivered to a third party instead, through an "assignment of proceeds."

Due to the nature of international dealings, including factors such as distance, differing laws in each country, and difficulty in knowing each party personally, the use of letters of credit has become a very important aspect of international trade.

In order to process an assignment of proceeds, the original beneficiary of the letter of credit must submit a request to the bank or other financial institution issuing the letter of credit requesting to assign the funds to a different individual or company. The assignment of proceeds will need to be approved by the financial institution once it is submitted, pending the fulfillment of any requirements set forth in the letter of credit.

If the original beneficiary does not meet the obligations outlined in the letter of credit, no assignment will take place. Once approved, the bank or other entity will release the money to the specified third party to be drawn upon at will.

Advantages and Disadvantages of an Assignment of Proceeds

The main benefit of an assignment of proceeds is that the original beneficiary has the ability to assign all or just a portion of the letter of credit to the third party. The original beneficiary will retain access to any portion of the proceeds not redirected to the third party. This allows both entities to make use of the same letter of credit when necessary.

This benefit must be weighed against the potential drawback of this type of transaction. When an assignment of proceeds takes place, the financial institution is not contracting directly with the third-party beneficiary. It is only acting as an agent in supplying the funds to the third party. The original beneficiary is still responsible for completing any and all requirements under the letter of credit.

Example of an Assignment of Proceeds

Assume XYZ Customer, in Brazil, is purchasing widgets from ABC Manufacturer, in the United States. In order to sign off on the deal, ABC Manufacturer requires that XYZ Customer obtains a letter of credit from a bank to mitigate the risk that XYZ may not pay ABC for the widgets once ABC has shipped them out of the country.

At this point, ABC Manufacturer is able to request that a portion of these funds be redirected to DEF Supplier, whom ABC still owes money for parts used in making the widgets. Even though a portion of the funds has been redirected to DEF Supplier, ABC Manufacturer still has to fulfill its obligations under the letter of credit, such as shipping out the widgets to XYZ.

• Terms of Service
• Editorial Policy
• Privacy Policy
• Your Privacy Choices

At SmartCapitalMind, we're committed to delivering accurate, trustworthy information. Our expert-authored content is rigorously fact-checked and sourced from credible authorities. Discover how we uphold the highest standards in providing you with reliable knowledge.

Learn more...

What Is an Assignment of Proceeds?

An assignment of proceeds is a financial document that is used to redirect all or a portion of a currently active letter of credit from the current beneficiary to a third party beneficiary. This type of activity can only take place if the current beneficiary is willing to agree to the arrangement, and files the necessary paperwork with the institution that extends the letter of credit to allow for this redirection of proceeds. Once the institution is satisfied with the paperwork, and the principal party involved with the letter of credit continues to comply with all the terms and provisions associated with that letter of credit, the portion transferred to the third party can be drawn upon at will.

One of the benefits of an assignment of proceeds is that the principal party still retains access to any portion of the proceeds not redirected to the third party, effectively allowing both entities to make use of the same letter of credit when necessary. For example, a parent company may be the principal party but choose to assign a portion of the proceeds from the letter of credit to a subsidiary as a means of providing backup funding for some project that the subsidiary is undertaking. This effectively creates a financial cushion that the subsidiary can draw upon if needed, all under the umbrella of the parent.

An assignment of proceeds can also occur between individuals. One individual serves as the principal party in the arrangement, and may choose to designate a portion of the proceeds to two other individuals as a means of creating some sort of support mechanism for those parties. For example, a parent may secure the letter of credit and allocate a portion of the proceeds to two children who are of legal age to participate in the arrangement. As long as the original beneficiary provides the necessary paperwork to divert a portion of the proceeds to the third party beneficiary, all parties can benefit from the assignment.

While an assignment of proceeds is an excellent and straightforward way to transfer or assign a portion of proceeds to a third party, it is important to note that the principal party remains responsible for the proceeds drawn on that letter of credit. While the beneficiaries are free to repay any amount borrowed on the credit, in the event that they fail to do so the principal party is obligated to settle the debt. For this reason, care should be taken to evaluate the circumstances closely before choosing to enact an assignment of proceeds and make sure each party is aware of his or her responsibilities in terms of repayment.

After many years in the teleconferencing industry, Michael decided to embrace his passion for trivia, research, and writing by becoming a full-time freelance writer. Since then, he has contributed articles to a variety of print and online publications, including SmartCapitalMind, and his work has also appeared in poetry collections, devotional anthologies, and several newspapers. Malcolm’s other interests include collecting vinyl records, minor league baseball, and cycling.

You might also Like

Recommended, as featured on:.

Related Articles

• What is an Assignment of Rents?
• What is a Stenographer?

Discuss this Article

Post your comments.

• Man climbing a rope

Assignment of Proceeds

Assignment of Proceeds . It is a legal mechanism by which the beneficiary of a letter of credit may pledge the proceeds of future drawings to a third party. Assigning proceeds involves giving the letter of credit to a financial institution, which holds the letter of credit until drawn upon, along with irrevocable instructions to the financial institution to disburse proceeds,when generated, in a specified way (such as pay 40 percent of each drawing to XXX Corporation). The financial institution acknowledges the assignment to the assignee. It does not have any obligation to pay any funds to the assignee unless the letter of credit is drawn upon by the beneficiary and payment is received from the issuing or confirming financial institution. An assignment of proceeds is not an assignment or transfer of the letter of credit and the assignee acquires no rights to perform under the letter of credit in order to generate funds.

• Supply Chain Finance

• Open Risk Academy
• Open Risk Commons
• Open Risk Models
• Read our Blog
• Open Risk Dashboard
• Open Risk Data
• Accessibility
• Terms of Service
• Privacy Policy

• Practical Law

Assignment of insurance policies and claims

Practical law uk practice note w-031-6021  (approx. 19 pages), get full access to this document with a free trial.

Try free and see for yourself how Practical Law resources can improve productivity, efficiency and response times.

About Practical Law

This document is from Thomson Reuters Practical Law, the legal know-how that goes beyond primary law and traditional legal research to give lawyers a better starting point. We provide standard documents, checklists, legal updates, how-to guides, and more.

650+ full-time experienced lawyer editors globally create and maintain timely, reliable and accurate resources across all major practice areas.

83% of customers are highly satisfied with Practical Law and would recommend to a colleague.

81% of customers agree that Practical Law saves them time.

• Construction and engineering
• Construction insurance
• Credit, terrorism and political risks
• Cyber insurance
• Directors and officers
• Disputes, investigations and enforcement
• Insurance in commercial transactions
• Insurance intermediaries
• Legal expenses
• Making and dealing with claims
• Reinsurance
• Security, risk management and business continuity

Export Success: Assignment of Proceeds as a Tool for Exporters

1. introduction, 2. understanding assignment of proceeds, 3. benefits of using assignment of proceeds, 4. how to use assignment of proceeds, 5. legal considerations for assignment of proceeds, 6. risks and mitigation strategies, 7. successful export deals with assignment of proceeds, 8. comparison with other export financing tools, 9. is assignment of proceeds right for your export business.

When it comes to exporting goods, there are various tools that exporters can use to ensure a successful transaction. One of these tools is the assignment of proceeds, which can be beneficial for both the exporter and the buyer. This section will provide an in-depth exploration of the assignment of proceeds, including what it is, how it works, and its benefits.

1. Understanding the Assignment of Proceeds: The assignment of proceeds is a document that allows an exporter to receive payment for their goods directly from the buyer's bank. This document is usually issued by the buyer's bank and is sent to the exporter's bank. Once the exporter's bank receives the document, they will release the goods to the buyer. This tool can be especially useful for exporters who are dealing with buyers in foreign countries, as it helps to mitigate the risk of non-payment.

2. Benefits of Using the Assignment of Proceeds: There are several benefits of using the assignment of proceeds. For one, it can help to reduce the risk of non-payment, which is a common concern for exporters. Additionally, this tool can help to streamline the payment process, making it faster and more efficient. It can also help to build trust between the exporter and the buyer, as both parties can feel confident that the transaction will be completed successfully.

3. Examples of Using the Assignment of Proceeds: Let's say that an exporter in the United States is selling goods to a buyer in China. The exporter is concerned about the risk of non-payment, as they have never worked with this buyer before. To mitigate this risk, the exporter asks the buyer to issue an assignment of proceeds. The buyer agrees, and the document is issued by the buyer's bank and sent to the exporter's bank. Once the exporter's bank receives the document, they release the goods to the buyer. The exporter can feel confident that they will receive payment for their goods, and the buyer can feel confident that they will receive the goods they ordered.

The assignment of proceeds is a useful tool for exporters who are looking to mitigate the risk of non-payment and streamline the payment process. By understanding how it works and its benefits, exporters can make informed decisions about whether or not to use this tool in their transactions.

Introduction - Export Success: Assignment of Proceeds as a Tool for Exporters

Assignment of Proceeds is a crucial concept for exporters and importers in international trade. It involves the exporters bank receiving payment from the importers bank on behalf of the exporter. It is a tool that helps to reduce the risk of non-payment and offers assurance to exporters that they will receive payment once the goods are delivered. This mechanism is crucial in international trade where there is a lack of trust between parties due to differences in legal systems, languages, and cultural backgrounds.

To understand Assignment of Proceeds better, consider these points:

1. How it works: The exporter and importer agree on the terms of the sale, including the method of payment and the banks involved. Once the goods are shipped, the exporter presents the shipping documents to their bank, which then sends them to the importer's bank. The importer's bank then releases payment to the exporter's bank, which then releases payment to the exporter.

2. Benefits for the exporter: The exporter benefits from this mechanism as it ensures that they receive payment for their goods. It reduces the risk of non-payment and gives them assurance that they will be paid once the goods are delivered.

3. Benefits for the importer: The importer also benefits from this mechanism as it gives them assurance that the goods have been shipped and that they will receive the shipping documents once payment has been made. It also reduces the risk of fraud and helps to build trust between parties.

4. When to use Assignment of Proceeds: This mechanism is typically used when the importer is not well known to the exporter, or when the political and economic situation in the importer's country is unstable. It is also used when the exporter is concerned about the risk of non-payment.

5. Example: Suppose a company in the United States wants to purchase goods from a company in China. The two companies agree on the terms of the sale, including the method of payment and the banks involved. The Chinese company ships the goods and presents the shipping documents to their bank. The Chinese bank then sends the shipping documents to the US company's bank. The US company's bank releases payment to the Chinese bank, which then releases payment to the Chinese company. In this way, the Assignment of Proceeds mechanism ensures that both parties are protected and that the transaction goes smoothly.

Understanding the Assignment of Proceeds is essential for exporters and importers. It is a tool that helps to reduce the risk of non-payment and offers assurance to both parties that the transaction will be completed successfully. It is important to use this mechanism when there is a lack of trust between parties or when there is a risk of non-payment.

Understanding Assignment of Proceeds - Export Success: Assignment of Proceeds as a Tool for Exporters

The Assignment of Proceeds is an agreement that can be used by exporters to ensure payment for their goods, which is also beneficial for importers and banks. This agreement can provide security and reduce risk for all parties involved in the transaction. Its benefits can range from minimizing payment delays to mitigating the risk of non-payment.

Here are some of the benefits of using Assignment of Proceeds:

1. Provides security for exporters: By using Assignment of Proceeds, exporters can be sure that they will receive payment for their goods. This is because the importer's bank is obligated to pay the exporter directly from the proceeds of the sale, which are held by the importer's bank until the payment is made.

2. Helps mitigate risk for importers: Importers can benefit from this agreement as well, as it can help reduce the risk of non-payment. The importer's bank is responsible for paying the exporter directly, which means that the exporter is less likely to experience payment delays or issues.

3. Can be used as collateral: As the Assignment of Proceeds agreement is a legal document, it can be used as collateral for loans or other financial agreements. This can help exporters secure funding to produce more goods and grow their business.

4. Can be customized: The Assignment of Proceeds agreement can be customized to fit the needs of the parties involved. For example, the agreement can be set up to allow partial payments or to specify the percentage of the proceeds that will be assigned to the exporter.

5. Reduces administrative costs: By using this agreement, exporters and importers can reduce administrative costs associated with payment processing. The exporter's bank does not need to be involved in the payment process, and the importer's bank can handle the payment directly.

Overall, the Assignment of Proceeds agreement can provide benefits for all parties involved in an export transaction. It can help reduce risk, provide security, and streamline the payment process. For example, an exporter selling goods to an importer in a foreign country may use the Assignment of Proceeds agreement to ensure that they receive payment for their goods, while the importer can benefit from reduced risk and streamlined payment processing .

Benefits of Using Assignment of Proceeds - Export Success: Assignment of Proceeds as a Tool for Exporters

When it comes to exporting goods, there are many factors that come into play, and one of the most important is getting paid. This is where Assignment of Proceeds comes in. It is a tool that can be used by exporters to ensure they receive payment for their goods, while also providing reassurance to the buyer that the goods have been shipped. This arrangement is often used in international trade transactions , where the exporter and buyer are located in different countries, and there may be concerns about payment security and creditworthiness.

Here are some key points to keep in mind when using Assignment of Proceeds:

1. Definition: Assignment of Proceeds is a written agreement between the exporter and the buyer's bank, in which the buyer's bank agrees to release payment to the exporter once certain conditions have been met. Usually, these conditions include the shipment of the goods and the presentation of specified shipping documents, such as bills of lading or airway bills.

2. Benefits for exporters: By using Assignment of Proceeds, exporters can be sure that they will receive payment for their goods, as long as they meet the specified conditions. This can help to reduce the risk of non-payment and improve cash flow. It can also make it easier to secure financing, as the exporter can use the Assignment of Proceeds as collateral.

3. Benefits for buyers: For buyers, Assignment of Proceeds can be a way to ensure that the goods they have paid for are actually shipped. The exporter cannot receive payment until the specified conditions are met, so the buyer has some assurance that they will receive what they have paid for. This can help to reduce the risk of fraud or non-delivery.

4. Example: Let's say that an exporter in the United States has agreed to sell a shipment of goods to a buyer in China. The two parties agree to use Assignment of Proceeds to ensure payment security. The exporter ships the goods to China and presents the necessary shipping documents to their bank. The bank sends the documents to the buyer's bank, along with instructions to release payment to the exporter. Once the buyer's bank confirms that the documents are in order, they release payment to the exporter.

Assignment of Proceeds can be a useful tool for exporters who want to ensure payment security and improve cash flow . It can also provide reassurance to buyers that they will receive the goods they have paid for. By understanding the key points outlined above, exporters can use Assignment of Proceeds effectively to facilitate international trade transactions .

How to Use Assignment of Proceeds - Export Success: Assignment of Proceeds as a Tool for Exporters

Legal considerations for assignment of proceeds are crucial for exporters to ensure that they are not exposed to risks that may arise from the transaction. In this section, we will discuss some of the legal aspects that exporters need to be aware of when assigning their proceeds.

1. Governing law: The first consideration is the governing law of the transaction. The governing law determines the legal framework within which the transaction is conducted and the legal rights of the parties. Exporters should ensure that the governing law is favorable to them and that they understand their legal rights and obligations . For example, if an exporter assigns their proceeds to a buyer in a foreign jurisdiction, they should be aware of the legal system, rules, and regulations of that jurisdiction.

2. Documentation: The assignment of proceeds requires proper documentation to ensure that the transaction is legally binding. The exporter should ensure that the assignment is documented in a written agreement that is signed by both parties. The agreement should clearly state the terms and conditions of the assignment, including the amount of the proceeds, the date of payment, and the payment method.

3. Consideration: Exporters should ensure that they receive adequate consideration for the assignment of their proceeds. The consideration should be commensurate with the value of the proceeds assigned and should be paid in a timely manner. Adequate consideration provides the exporter with a degree of financial security, and it also serves as evidence of the transaction.

4. Risk management: Exporters should ensure that they manage the risks associated with the assignment of their proceeds. Risks can arise from factors such as non-payment by the buyer, fraud, or political risks. Exporters can mitigate these risks by taking measures such as performing due diligence on the buyer, using a reputable bank to handle the transaction, and obtaining insurance coverage.

5. Dispute resolution: Finally, exporters should ensure that they have a dispute resolution mechanism in place in case of any disagreement with the buyer. The dispute resolution mechanism should be clearly stated in the assignment agreement and should be enforceable under the governing law of the transaction.

Overall, legal considerations for assignment of proceeds are critical for exporters to protect themselves from risks that may arise from the transaction. By understanding the legal framework , documenting the transaction properly, ensuring adequate consideration, managing risks, and having a dispute resolution mechanism in place, exporters can use the assignment of proceeds as a tool to facilitate their exports and grow their business.

Legal Considerations for Assignment of Proceeds - Export Success: Assignment of Proceeds as a Tool for Exporters

Exporters face a range of risks when trading internationally, including political risks, currency risks, and payment risks. These risks can have a significant financial impact if not properly managed. However, there are several mitigation strategies available to exporters that can help minimize these risks and ensure a successful export transaction. In this section, we will explore some of the risks faced by exporters and the mitigation strategies that can be employed to manage them.

1. Political Risks: Exporters can face political risks when trading with foreign countries. These risks may include changes in government policies, political unrest, and civil war. These risks can be mitigated by conducting a thorough risk assessment of the target market, monitoring political developments, and securing appropriate insurance coverage .

2. Currency Risks: Fluctuations in exchange rates can have a significant impact on an exporter's profitability. To mitigate this risk, exporters can use tools such as forward contracts, currency options, and currency swaps to hedge against currency fluctuations. For example, an exporter who expects to receive payment in a foreign currency can use a forward contract to lock in a favorable exchange rate.

3. Payment Risks: Exporters face payment risks when dealing with overseas customers, including the risk of non-payment and late payment. To mitigate these risks, exporters can use payment methods such as letters of credit, documentary collections, and assignment of proceeds. For instance, an exporter can use an assignment of proceeds to ensure that payment is received before the goods are shipped, thereby reducing the risk of non-payment.

4. Transportation Risks: Exporters also face transportation risks when shipping goods overseas. These risks may include damage to goods during transit, theft, and delays. Exporters can mitigate these risks by using appropriate shipping methods, such as air or sea freight, and securing appropriate insurance coverage.

Managing risks is an essential part of exporting, and exporters should be aware of the risks they face and the mitigation strategies available to them. By taking appropriate measures to manage risks, exporters can ensure a successful export transaction and minimize the financial impact of any potential risks .

Risks and Mitigation Strategies - Export Success: Assignment of Proceeds as a Tool for Exporters

When it comes to successful export deals, there are many factors that come into play. One important tool that exporters can use to ensure payment is the assignment of proceeds . This tool allows the exporter to receive payment from a bank, rather than directly from the buyer. In this way, the bank acts as an intermediary, ensuring that the exporter is paid before the buyer receives the goods. There are many benefits to using the assignment of proceeds, including reduced risk for the exporter and increased trust between the buyer and seller.

To better understand how the assignment of proceeds can be used successfully in export deals, let's take a look at a few case studies:

1. Case Study 1: Exporting Furniture to Europe . A furniture manufacturer in the United States wanted to export their products to Europe. They were hesitant to do so, as they were concerned about receiving payment from buyers they had never met before. By using the assignment of proceeds, the manufacturer was able to receive payment from a European bank before the goods were shipped. This gave them the confidence they needed to move forward with the deal, and they were able to successfully export their furniture to Europe.

2. Case Study 2: Exporting Agricultural Products to Asia . An agricultural producer in South America wanted to export their products to Asia. They had heard horror stories about exporters who had not received payment for their goods, and were understandably nervous about entering into an export deal. By using the assignment of proceeds, the producer was able to receive payment from an Asian bank before the goods were shipped. This allowed them to confidently enter into the deal, and they were able to successfully export their agricultural products to Asia.

3. Case Study 3: Exporting Clothing to Africa . A clothing manufacturer in Asia wanted to export their products to Africa. They had previously had trouble receiving payment from buyers in Africa, and were hesitant to try again. By using the assignment of proceeds, the manufacturer was able to receive payment from an African bank before the goods were shipped. This gave them the assurance they needed to move forward with the deal, and they were able to successfully export their clothing to Africa.

Overall, these case studies demonstrate the effectiveness of the assignment of proceeds as a tool for exporters. By using this tool, exporters can reduce their risk and increase their chances of success in the global marketplace.

Successful Export Deals with Assignment of Proceeds - Export Success: Assignment of Proceeds as a Tool for Exporters

When it comes to financing exports, there are various tools available for exporters. Some of the most popular ones include export credit insurance , letters of credit, and factoring. While each of these tools serves a specific purpose and can be beneficial to exporters, they are not without their drawbacks. In this section, we will compare the use of Assignment of Proceeds (AOP) with other export financing tools to help you understand how they differ and which may be the best fit for your business.

1. Export Credit Insurance: Export credit insurance is a type of insurance that protects exporters against the risk of non-payment by their overseas customers. While this insurance can be helpful in mitigating risk, it does not provide financing. This means that while you may be protected against non-payment, you still need to find a way to finance your export transaction. On the other hand, AOP can be used in conjunction with export credit insurance to provide financing.

2. letters of credit : Letters of credit are a common form of export financing that involve a bank guaranteeing payment to the exporter. While letters of credit can be useful in providing financing and mitigating risk, they can be complex and time-consuming to set up. In contrast, AOP is a relatively simple and straightforward financing tool.

3. Factoring: Factoring is a form of financing where a company sells its accounts receivable to a third party at a discount in order to receive immediate cash. While factoring can be useful in providing cash flow, it can be expensive, and the factoring company will take a percentage of the invoice value as their fee. With AOP, the exporter retains ownership of their accounts receivable and does not need to pay a third party to receive financing.

In summary, while there are various export financing tools available, AOP offers a simple and cost-effective solution for exporters looking to finance their transactions. By assigning the right to receive payment to their bank, exporters can receive financing while minimizing risk .

Comparison with Other Export Financing Tools - Export Success: Assignment of Proceeds as a Tool for Exporters

After discussing the basics of assignment of proceeds and how it can be used as a tool for exporters, it is important to evaluate whether or not it is the right choice for your export business. This decision should be based on a variety of factors, including your business's financial situation, the level of trust between you and your buyer, and the specific terms of your export contract.

Firstly, consider your business's financial situation. If you are in need of immediate cash flow, assignment of proceeds can be a useful solution. However, if you have the financial resources to wait for payment from your buyer, you may want to consider other options.

Secondly, think about the level of trust between you and your buyer. If you have a long-standing relationship with your buyer and trust that they will make payment on time, assignment of proceeds may not be necessary. However, if you are working with a new buyer or have concerns about their ability to make payment, assignment of proceeds can provide an added layer of security.

Thirdly, carefully review the terms of your export contract. Some contracts may already include provisions for assignment of proceeds, while others may prohibit it altogether. Make sure to consult with legal experts to ensure that you are not violating any terms of your contract.

To sum up, while assignment of proceeds can be a valuable tool for exporters, it is not always the right choice. Carefully evaluate your business's financial situation, the level of trust between you and your buyer, and the terms of your export contract to make an informed decision. Ultimately, the goal is to choose a payment method that is secure, reliable, and best suited to your specific business needs.

Read Other Blogs

Venture capitalists (VCs) are typically known for being early investors in tech startups, but...

In the realm of business, the ability to anticipate and prepare for future financial outcomes is...

1. Put option: Introduction to Put Options In the world of financial markets, put options play a...

Introduction: In the fast-paced world we live in, where each day seems to blur into the next, it's...

The joy of first steps is a milestone that every parent eagerly anticipates. It marks a significant...

In the dynamic landscape of business, the phenomenon of customers discontinuing their subscriptions...

In today's competitive and dynamic market, startups need to constantly innovate and adapt to...

1. Green Bonds: A Sustainable Investment Option Green Bonds have gained significant traction in...

Absolutely! Here's a lengthy section discussing the importance of stop-loss orders: Understanding...

We couldn’t find any results matching your search.

Please try using other words for your search or explore other sections of the website for relevant information.

We’re sorry, we are currently experiencing some issues, please try again later.

Our team is working diligently to resolve the issue. Thank you for your patience and understanding.

Assignment of proceeds

Arrangement that allows the original beneficiary of a letter of credit to pledge or turn over proceeds to another, typically end supplier.

• Earnings per share (EPS)
• Market capitalization
• Outstanding
• Market value
• Over-the-counter (OTC)
• Sexvigintillion
• National Association of Securities Dealers (NASD)

Copyright © 2018, Campbell R. Harvey. All Worldwide Rights Reserved. Do not reproduce without explicit permission.

• Type a symbol or company name. When the symbol you want to add appears, add it to My Quotes by selecting it and pressing Enter/Return.

These symbols will be available throughout the site during your session.

Your symbols have been updated

Edit watchlist.

• Type a symbol or company name. When the symbol you want to add appears, add it to Watchlist by selecting it and pressing Enter/Return.

Opt in to Smart Portfolio

Smart Portfolio is supported by our partner TipRanks. By connecting my portfolio to TipRanks Smart Portfolio I agree to their Terms of Use .

• Define: Assignment Of Proceeds

Assignment of Proceeds is a legal and financial term that refers to the transfer of rights or ownership of future payments or funds to another party. This transfer typically occurs in the context of a contract or agreement, where one party (the assignor) assigns their right to receive proceeds from a specific source, such as a sale, loan, or insurance claim, to another party (the assignee ). The assignee then becomes entitled to receive and collect the assigned proceeds directly from the source, effectively stepping into the shoes of the assignor. This arrangement is commonly used in various financial transactions, such as factoring, where a business assigns its accounts receivable to a factor in exchange for immediate cash. The assignment of proceeds provides a mechanism for parties to transfer financial rights and obligations, ensuring the smooth flow of funds and facilitating business transactions.

An assignment of proceeds is a legal arrangement in which a debtor transfers the right to receive payment from a third party to a creditor as security for a debt. This allows the creditor to collect the proceeds directly from the third party in the event that the debtor fails to make the required payments. The assignment of proceeds is typically documented in a written agreement and may be subject to specific legal requirements depending on the jurisdiction. It is important for all parties involved to understand their rights and obligations under the assignment of proceeds to avoid any potential disputes or legal issues.

Related Posts

• Step-By-Step Guide: What Do I Do When Someone Dies?
• What Happens If Estate Values Fall?
• Civil Partnerships And Same-Sex Marriage Explained
• What Are My Options If My Child Arrangements Order Is Violated?
• How Do I Obtain A Copy Of A Will?
• Top 10 Things You Can Do To Help Your Property Case Progress Smoothly
• Administering Estates – Procedures And Pitfalls
• Applications In The Court Of Protection – FAQs

Q: What is an Assignment of Proceeds? A: An Assignment of Proceeds is a legal document that allows a debtor to assign their right to receive payment from a third party to a creditor.

Q: Why would someone use an Assignment of Proceeds? A: An Assignment of Proceeds is commonly used in situations where a debtor owes money to a creditor and wants to ensure that the creditor receives payment directly from a third party, such as an insurance company or a customer.

Q: Who can use an Assignment of Proceeds? A: Both individuals and businesses can use an Assignment of Proceeds. It is commonly used in commercial transactions, international trade, and insurance claims.

Q: What are the benefits of using an Assignment of Proceeds? A: The main benefit of using an Assignment of Proceeds is that it provides a secure way for a creditor to receive payment directly from a third party, reducing the risk of non-payment or default by the debtor.

Q: How does an Assignment of Proceeds work? A: The debtor and the creditor enter into an agreement where the debtor assigns their right to receive payment from a third party to the creditor. The third party is then legally obligated to make the payment directly to the creditor.

Q: Can an Assignment of Proceeds be revoked? A: In most cases, an Assignment of Proceeds cannot be revoked without the consent of the creditor. However, the terms of the agreement may specify conditions under which the assignment can be terminated.

Q: Are there any legal requirements for an Assignment of Proceeds? A: The specific legal requirements for an Assignment of Proceeds may vary depending on the jurisdiction . It is advisable to consult with a legal professional to ensure compliance with local laws and regulations .

Q: Can an Assignment of Proceeds be used for any type of payment? A: An Assignment of Proceeds can be used for various types of payments, including insurance claims, accounts receivable, and sales proceeds. However, it may not be suitable for certain types of payments, such as personal loans or salary payments.

Q: Can an Assignment of Proceeds be used internationally? A: Yes, an Assignment of Proceeds can be used internationally. However, it is important to consider the legal requirements and enforceability in the relevant jurisdictions.

Q: What happens if the third party fails to make the payment? A: If the third party fails to make the payment as assigned, the creditor may have legal recourse to pursue the payment through legal means,

This site contains general legal information but does not constitute professional legal advice for your particular situation. Persuing this glossary does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.

This glossary post was last updated: 29th March 2024.

To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

• Page URL: https://dlssolicitors.com/define/assignment-of-proceeds/
• Modern Language Association (MLA): Assignment Of Proceeds. dlssolicitors.com. DLS Solicitors. May 11 2024 https://dlssolicitors.com/define/assignment-of-proceeds/.
• Chicago Manual of Style (CMS): Assignment Of Proceeds. dlssolicitors.com. DLS Solicitors. https://dlssolicitors.com/define/assignment-of-proceeds/ (accessed: May 11 2024).
• American Psychological Association (APA): Assignment Of Proceeds. dlssolicitors.com. Retrieved May 11 2024, from dlssolicitors.com website: https://dlssolicitors.com/define/assignment-of-proceeds/

Our team of professionals are based in Alderley Edge, Cheshire. We offer clear, specialist legal advice in all matters relating to Family Law, Wills, Trusts, Probate, Lasting Power of Attorney and Court of Protection.

• assignments basic law

Assignments: The Basic Law

The assignment of a right or obligation is a common contractual event under the law and the right to assign (or prohibition against assignments) is found in the majority of agreements, leases and business structural documents created in the United States.

As with many terms commonly used, people are familiar with the term but often are not aware or fully aware of what the terms entail. The concept of assignment of rights and obligations is one of those simple concepts with wide ranging ramifications in the contractual and business context and the law imposes severe restrictions on the validity and effect of assignment in many instances. Clear contractual provisions concerning assignments and rights should be in every document and structure created and this article will outline why such drafting is essential for the creation of appropriate and effective contracts and structures.

The reader should first read the article on Limited Liability Entities in the United States and Contracts since the information in those articles will be assumed in this article.

Basic Definitions and Concepts:

An assignment is the transfer of rights held by one party called the “assignor” to another party called the “assignee.” The legal nature of the assignment and the contractual terms of the agreement between the parties determines some additional rights and liabilities that accompany the assignment. The assignment of rights under a contract usually completely transfers the rights to the assignee to receive the benefits accruing under the contract. Ordinarily, the term assignment is limited to the transfer of rights that are intangible, like contractual rights and rights connected with property. Merchants Service Co. v. Small Claims Court , 35 Cal. 2d 109, 113-114 (Cal. 1950).

An assignment will generally be permitted under the law unless there is an express prohibition against assignment in the underlying contract or lease. Where assignments are permitted, the assignor need not consult the other party to the contract but may merely assign the rights at that time. However, an assignment cannot have any adverse effect on the duties of the other party to the contract, nor can it diminish the chance of the other party receiving complete performance. The assignor normally remains liable unless there is an agreement to the contrary by the other party to the contract.

The effect of a valid assignment is to remove privity between the assignor and the obligor and create privity between the obligor and the assignee. Privity is usually defined as a direct and immediate contractual relationship. See Merchants case above.

Further, for the assignment to be effective in most jurisdictions, it must occur in the present. One does not normally assign a future right; the assignment vests immediate rights and obligations.

No specific language is required to create an assignment so long as the assignor makes clear his/her intent to assign identified contractual rights to the assignee. Since expensive litigation can erupt from ambiguous or vague language, obtaining the correct verbiage is vital. An agreement must manifest the intent to transfer rights and can either be oral or in writing and the rights assigned must be certain.

Note that an assignment of an interest is the transfer of some identifiable property, claim, or right from the assignor to the assignee. The assignment operates to transfer to the assignee all of the rights, title, or interest of the assignor in the thing assigned. A transfer of all rights, title, and interests conveys everything that the assignor owned in the thing assigned and the assignee stands in the shoes of the assignor. Knott v. McDonald’s Corp ., 985 F. Supp. 1222 (N.D. Cal. 1997)

The parties must intend to effectuate an assignment at the time of the transfer, although no particular language or procedure is necessary. As long ago as the case of National Reserve Co. v. Metropolitan Trust Co ., 17 Cal. 2d 827 (Cal. 1941), the court held that in determining what rights or interests pass under an assignment, the intention of the parties as manifested in the instrument is controlling.

The intent of the parties to an assignment is a question of fact to be derived not only from the instrument executed by the parties but also from the surrounding circumstances. When there is no writing to evidence the intention to transfer some identifiable property, claim, or right, it is necessary to scrutinize the surrounding circumstances and parties’ acts to ascertain their intentions. Strosberg v. Brauvin Realty Servs., 295 Ill. App. 3d 17 (Ill. App. Ct. 1st Dist. 1998)

The general rule applicable to assignments of choses in action is that an assignment, unless there is a contract to the contrary, carries with it all securities held by the assignor as collateral to the claim and all rights incidental thereto and vests in the assignee the equitable title to such collateral securities and incidental rights. An unqualified assignment of a contract or chose in action, however, with no indication of the intent of the parties, vests in the assignee the assigned contract or chose and all rights and remedies incidental thereto.

More examples: In Strosberg v. Brauvin Realty Servs ., 295 Ill. App. 3d 17 (Ill. App. Ct. 1st Dist. 1998), the court held that the assignee of a party to a subordination agreement is entitled to the benefits and is subject to the burdens of the agreement. In Florida E. C. R. Co. v. Eno , 99 Fla. 887 (Fla. 1930), the court held that the mere assignment of all sums due in and of itself creates no different or other liability of the owner to the assignee than that which existed from the owner to the assignor.

And note that even though an assignment vests in the assignee all rights, remedies, and contingent benefits which are incidental to the thing assigned, those which are personal to the assignor and for his sole benefit are not assigned. Rasp v. Hidden Valley Lake, Inc ., 519 N.E.2d 153, 158 (Ind. Ct. App. 1988). Thus, if the underlying agreement provides that a service can only be provided to X, X cannot assign that right to Y.

Novation Compared to Assignment:

Although the difference between a novation and an assignment may appear narrow, it is an essential one. “Novation is a act whereby one party transfers all its obligations and benefits under a contract to a third party.” In a novation, a third party successfully substitutes the original party as a party to the contract. “When a contract is novated, the other contracting party must be left in the same position he was in prior to the novation being made.”

A sublease is the transfer when a tenant retains some right of reentry onto the leased premises. However, if the tenant transfers the entire leasehold estate, retaining no right of reentry or other reversionary interest, then the transfer is an assignment. The assignor is normally also removed from liability to the landlord only if the landlord consents or allowed that right in the lease. In a sublease, the original tenant is not released from the obligations of the original lease.

Equitable Assignments:

An equitable assignment is one in which one has a future interest and is not valid at law but valid in a court of equity. In National Bank of Republic v. United Sec. Life Ins. & Trust Co. , 17 App. D.C. 112 (D.C. Cir. 1900), the court held that to constitute an equitable assignment of a chose in action, the following has to occur generally: anything said written or done, in pursuance of an agreement and for valuable consideration, or in consideration of an antecedent debt, to place a chose in action or fund out of the control of the owner, and appropriate it to or in favor of another person, amounts to an equitable assignment. Thus, an agreement, between a debtor and a creditor, that the debt shall be paid out of a specific fund going to the debtor may operate as an equitable assignment.

In Egyptian Navigation Co. v. Baker Invs. Corp. , 2008 U.S. Dist. LEXIS 30804 (S.D.N.Y. Apr. 14, 2008), the court stated that an equitable assignment occurs under English law when an assignor, with an intent to transfer his/her right to a chose in action, informs the assignee about the right so transferred.

An executory agreement or a declaration of trust are also equitable assignments if unenforceable as assignments by a court of law but enforceable by a court of equity exercising sound discretion according to the circumstances of the case. Since California combines courts of equity and courts of law, the same court would hear arguments as to whether an equitable assignment had occurred. Quite often, such relief is granted to avoid fraud or unjust enrichment.

Note that obtaining an assignment through fraudulent means invalidates the assignment. Fraud destroys the validity of everything into which it enters. It vitiates the most solemn contracts, documents, and even judgments. Walker v. Rich , 79 Cal. App. 139 (Cal. App. 1926). If an assignment is made with the fraudulent intent to delay, hinder, and defraud creditors, then it is void as fraudulent in fact. See our article on Transfers to Defraud Creditors .

But note that the motives that prompted an assignor to make the transfer will be considered as immaterial and will constitute no defense to an action by the assignee, if an assignment is considered as valid in all other respects.

Enforceability of Assignments:

Whether a right under a contract is capable of being transferred is determined by the law of the place where the contract was entered into. The validity and effect of an assignment is determined by the law of the place of assignment. The validity of an assignment of a contractual right is governed by the law of the state with the most significant relationship to the assignment and the parties.

In some jurisdictions, the traditional conflict of laws rules governing assignments has been rejected and the law of the place having the most significant contacts with the assignment applies. In Downs v. American Mut. Liability Ins. Co ., 14 N.Y.2d 266 (N.Y. 1964), a wife and her husband separated and the wife obtained a judgment of separation from the husband in New York. The judgment required the husband to pay a certain yearly sum to the wife. The husband assigned 50 percent of his future salary, wages, and earnings to the wife. The agreement authorized the employer to make such payments to the wife.

After the husband moved from New York, the wife learned that he was employed by an employer in Massachusetts. She sent the proper notice and demanded payment under the agreement. The employer refused and the wife brought an action for enforcement. The court observed that Massachusetts did not prohibit assignment of the husband’s wages. Moreover, Massachusetts law was not controlling because New York had the most significant relationship with the assignment. Therefore, the court ruled in favor of the wife.

Therefore, the validity of an assignment is determined by looking to the law of the forum with the most significant relationship to the assignment itself. To determine the applicable law of assignments, the court must look to the law of the state which is most significantly related to the principal issue before it.

Assignment of Contractual Rights:

Generally, the law allows the assignment of a contractual right unless the substitution of rights would materially change the duty of the obligor, materially increase the burden or risk imposed on the obligor by the contract, materially impair the chance of obtaining return performance, or materially reduce the value of the performance to the obligor. Restat 2d of Contracts, § 317(2)(a). This presumes that the underlying agreement is silent on the right to assign.

If the contract specifically precludes assignment, the contractual right is not assignable. Whether a contract is assignable is a matter of contractual intent and one must look to the language used by the parties to discern that intent.

In the absence of an express provision to the contrary, the rights and duties under a bilateral executory contract that does not involve personal skill, trust, or confidence may be assigned without the consent of the other party. But note that an assignment is invalid if it would materially alter the other party’s duties and responsibilities. Once an assignment is effective, the assignee stands in the shoes of the assignor and assumes all of assignor’s rights. Hence, after a valid assignment, the assignor’s right to performance is extinguished, transferred to assignee, and the assignee possesses the same rights, benefits, and remedies assignor once possessed. Robert Lamb Hart Planners & Architects v. Evergreen, Ltd. , 787 F. Supp. 753 (S.D. Ohio 1992).

On the other hand, an assignee’s right against the obligor is subject to “all of the limitations of the assignor’s right, all defenses thereto, and all set-offs and counterclaims which would have been available against the assignor had there been no assignment, provided that these defenses and set-offs are based on facts existing at the time of the assignment.” See Robert Lamb , case, above.

The power of the contract to restrict assignment is broad. Usually, contractual provisions that restrict assignment of the contract without the consent of the obligor are valid and enforceable, even when there is statutory authorization for the assignment. The restriction of the power to assign is often ineffective unless the restriction is expressly and precisely stated. Anti-assignment clauses are effective only if they contain clear, unambiguous language of prohibition. Anti-assignment clauses protect only the obligor and do not affect the transaction between the assignee and assignor.

Usually, a prohibition against the assignment of a contract does not prevent an assignment of the right to receive payments due, unless circumstances indicate the contrary. Moreover, the contracting parties cannot, by a mere non-assignment provision, prevent the effectual alienation of the right to money which becomes due under the contract.

A contract provision prohibiting or restricting an assignment may be waived, or a party may so act as to be estopped from objecting to the assignment, such as by effectively ratifying the assignment. The power to void an assignment made in violation of an anti-assignment clause may be waived either before or after the assignment. See our article on Contracts.

Noncompete Clauses and Assignments:

Of critical import to most buyers of businesses is the ability to ensure that key employees of the business being purchased cannot start a competing company. Some states strictly limit such clauses, some do allow them. California does restrict noncompete clauses, only allowing them under certain circumstances. A common question in those states that do allow them is whether such rights can be assigned to a new party, such as the buyer of the buyer.

A covenant not to compete, also called a non-competitive clause, is a formal agreement prohibiting one party from performing similar work or business within a designated area for a specified amount of time. This type of clause is generally included in contracts between employer and employee and contracts between buyer and seller of a business.

Many workers sign a covenant not to compete as part of the paperwork required for employment. It may be a separate document similar to a non-disclosure agreement, or buried within a number of other clauses in a contract. A covenant not to compete is generally legal and enforceable, although there are some exceptions and restrictions.

Whenever a company recruits skilled employees, it invests a significant amount of time and training. For example, it often takes years before a research chemist or a design engineer develops a workable knowledge of a company’s product line, including trade secrets and highly sensitive information. Once an employee gains this knowledge and experience, however, all sorts of things can happen. The employee could work for the company until retirement, accept a better offer from a competing company or start up his or her own business.

A covenant not to compete may cover a number of potential issues between employers and former employees. Many companies spend years developing a local base of customers or clients. It is important that this customer base not fall into the hands of local competitors. When an employee signs a covenant not to compete, he or she usually agrees not to use insider knowledge of the company’s customer base to disadvantage the company. The covenant not to compete often defines a broad geographical area considered off-limits to former employees, possibly tens or hundreds of miles.

Another area of concern covered by a covenant not to compete is a potential ‘brain drain’. Some high-level former employees may seek to recruit others from the same company to create new competition. Retention of employees, especially those with unique skills or proprietary knowledge, is vital for most companies, so a covenant not to compete may spell out definite restrictions on the hiring or recruiting of employees.

A covenant not to compete may also define a specific amount of time before a former employee can seek employment in a similar field. Many companies offer a substantial severance package to make sure former employees are financially solvent until the terms of the covenant not to compete have been met.

Because the use of a covenant not to compete can be controversial, a handful of states, including California, have largely banned this type of contractual language. The legal enforcement of these agreements falls on individual states, and many have sided with the employee during arbitration or litigation. A covenant not to compete must be reasonable and specific, with defined time periods and coverage areas. If the agreement gives the company too much power over former employees or is ambiguous, state courts may declare it to be overbroad and therefore unenforceable. In such case, the employee would be free to pursue any employment opportunity, including working for a direct competitor or starting up a new company of his or her own.

It has been held that an employee’s covenant not to compete is assignable where one business is transferred to another, that a merger does not constitute an assignment of a covenant not to compete, and that a covenant not to compete is enforceable by a successor to the employer where the assignment does not create an added burden of employment or other disadvantage to the employee. However, in some states such as Hawaii, it has also been held that a covenant not to compete is not assignable and under various statutes for various reasons that such covenants are not enforceable against an employee by a successor to the employer. Hawaii v. Gannett Pac. Corp. , 99 F. Supp. 2d 1241 (D. Haw. 1999)

It is vital to obtain the relevant law of the applicable state before drafting or attempting to enforce assignment rights in this particular area.

Conclusion:

In the current business world of fast changing structures, agreements, employees and projects, the ability to assign rights and obligations is essential to allow flexibility and adjustment to new situations. Conversely, the ability to hold a contracting party into the deal may be essential for the future of a party. Thus, the law of assignments and the restriction on same is a critical aspect of every agreement and every structure. This basic provision is often glanced at by the contracting parties, or scribbled into the deal at the last minute but can easily become the most vital part of the transaction.

As an example, one client of ours came into the office outraged that his co venturer on a sizable exporting agreement, who had excellent connections in Brazil, had elected to pursue another venture instead and assigned the agreement to a party unknown to our client and without the business contacts our client considered vital. When we examined the handwritten agreement our client had drafted in a restaurant in Sao Paolo, we discovered there was no restriction on assignment whatsoever…our client had not even considered that right when drafting the agreement after a full day of work.

One choses who one does business with carefully…to ensure that one’s choice remains the party on the other side of the contract, one must master the ability to negotiate proper assignment provisions.

Founded in 1939, our law firm combines the ability to represent clients in domestic or international matters with the personal interaction with clients that is traditional to a long established law firm.

Read more about our firm

© 2024, Stimmel, Stimmel & Roeser, All rights reserved  | Terms of Use | Site by Bay Design

• F Technology

Assignment of Proceeds: Meaning, Pros and Cons, Example

Diane Costagliola is a researcher, librarian, instructor, and writer who has published articles on personal finance, home buying, and foreclosure.

What Is an Assignment of Proceeds?

An assignment of proceeds occurs when a beneficiary transfers all or part of the proceeds from a letter of credit to a third-party beneficiary . Assigning the proceeds from a letter of credit can be utilized in many types of scenarios, such as to pay suppliers or vendors in a business transaction or to settle other debts.

Key Takeaways

• An assignment of proceeds can be used to redirect funds from a line of credit to a third party.
• An assignment of proceeds must be approved by the financial institution that granted the line of credit following a request and fulfillment of any obligations by the original beneficiary.
• A benefit of this type of transaction is the ability to redirect only a portion of the proceeds, in which case both the original beneficiary and third party can access the same letter of credit.
• A drawback of this type of transaction is that the original beneficiary is still responsible for fulfilling all requirements under the letter of credit, even when the funds are redirected to the third party.
• This type of transaction is used in a number of circumstances, such as when paying suppliers or vendors, or when settling outstanding debts.

Understanding an Assignment of Proceeds

A letter of credit is a letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. In the event that the buyer is unable to make a payment on the purchase, the bank will be required to cover the full or remaining amount of the purchase. The original beneficiary, the named party who is entitled to receive the proceeds from a letter of credit, may choose to have them delivered to a third party instead, through an "assignment of proceeds."

Due to the nature of international dealings, including factors such as distance, differing laws in each country, and difficulty in knowing each party personally, the use of letters of credit has become a very important aspect of international trade.

In order to process an assignment of proceeds, the original beneficiary of the letter of credit must submit a request to the bank or other financial institution issuing the letter of credit requesting to assign the funds to a different individual or company. The assignment of proceeds will need to be approved by the financial institution once it is submitted, pending the fulfillment of any requirements set forth in the letter of credit.

If the original beneficiary does not meet the obligations outlined in the letter of credit, no assignment will take place. Once approved, the bank or other entity will release the money to the specified third party to be drawn upon at will.

Advantages and Disadvantages of an Assignment of Proceeds

The main benefit of an assignment of proceeds is that the original beneficiary has the ability to assign all or just a portion of the letter of credit to the third party. The original beneficiary will retain access to any portion of the proceeds not redirected to the third party. This allows both entities to make use of the same letter of credit when necessary.

This benefit must be weighed against the potential drawback of this type of transaction. When an assignment of proceeds takes place, the financial institution is not contracting directly with the third-party beneficiary. It is only acting as an agent in supplying the funds to the third party. The original beneficiary is still responsible for completing any and all requirements under the letter of credit.

Example of an Assignment of Proceeds

Assume XYZ Customer, in Brazil, is purchasing widgets from ABC Manufacturer, in the United States. In order to sign off on the deal, ABC Manufacturer requires that XYZ Customer obtains a letter of credit from a bank to mitigate the risk that XYZ may not pay ABC for the widgets once ABC has shipped them out of the country.

At this point, ABC Manufacturer is able to request that a portion of these funds be redirected to DEF Supplier, whom ABC still owes money for parts used in making the widgets. Even though a portion of the funds has been redirected to DEF Supplier, ABC Manufacturer still has to fulfill its obligations under the letter of credit, such as shipping out the widgets to XYZ.

• call-center
• credit-card
• financial-conglomerate
• HealthCareProtect
• the-premier
• K-Cyber Invest
• K-Cyber Trade
• K CORPORATE CONNECT

ผลิตภัณฑ์ (25)

Assignment of Proceeds under Export L/C

​​​​​​​​​​​​​​​Accurate assignment of proceeds to enhance export businesses.

บริการตรวจเอกสารล่วงหน้า พร้อมจองเวลาสาขา เพื่อเปิดบัญชี

สแกน QR Code เพื่อเข้าสู่เมนูส่งตรวจเอกสาร หรือพิมพ์ @doccheck บน Line KBank Live

สแกน QR Code เพื่อจองเวลาเข้ารับบริการ

Service details, how to apply, buyer’s name stays anonymous..

Allocated to as many assignees as required.

Assignment and effect payment to the assignee(s) will be prepared by the bank.

Safe. Worryfree.

The bank will coordinate only with the beneficiary of the L/C.

• Election 2024
• Entertainment
• Newsletters
• Photography
• Personal Finance
• AP Investigations
• AP Buyline Personal Finance
• AP Buyline Shopping
• Press Releases
• Israel-Hamas War
• Russia-Ukraine War
• Global elections
• Asia Pacific
• Latin America
• Middle East
• Election Results
• Delegate Tracker
• AP & Elections
• Auto Racing
• 2024 Paris Olympic Games
• Movie reviews
• Book reviews
• Personal finance
• Financial Markets
• Business Highlights
• Financial wellness
• Artificial Intelligence
• Social Media

Anti-war protesters leave USC after police arrive, while Northeastern ceremony proceeds calmly

Pro-Palestinian demonstrators remove belongings from an encampment after police arrived on the campus at the University of Southern California Sunday, May 5, 2024, in Los Angeles. (AP Photo/Ryan Sun)

People stand guard outside an encampment set up by pro-Palestinian demonstrators on the campus at the University of Southern California Saturday, May 4, 2024, in Los Angeles. (AP Photo/Ryan Sun)

Police gather on the campus at the University of Southern California prior to clearing out an encampment set up by pro-Palestinian demonstrators Sunday, May 5, 2024, in Los Angeles. (AP Photo/Ryan Sun)

A protestors gestures near police officers after a raid on the pro-Palestinian encampment on the campus at the University of Southern California Sunday, May 5, 2024, in Los Angeles. (AP Photo/Ryan Sun)

A person protests in front of a police officer after police arrived on the campus at the University of Southern California to clear an encampment set up by pro-Palestinian demonstrators Sunday, May 5, 2024, in Los Angeles. (AP Photo/Ryan Sun)

People carry belongings out of an encampment set up by pro-Palestinian demonstrators after police arrived for a raid on the campus at the University of Southern California Sunday, May 5, 2024, in Los Angeles. (AP Photo/Ryan Sun)

A demonstrator stands in front of an encampment set up by pro-Palestinian demonstrators on the campus at the University of Southern California after police arrived with orders to disperse Sunday, May 5, 2024, in Los Angeles. (AP Photo/Ryan Sun)

University of Mississippi student and counter-protester Connor Moore, center, taunts graduate student Jaylin R. Smith with a piece of bread during a protest in support of Palestinians on Thursday, May 2, 2024, outside the J.D. Williams Library on the school campus in Oxford, Miss. (HG Biggs/The Clarion-Ledger via AP)

CORRECTS PHRASE ON BANNER - A plane pulling a banner that reads “Divest From Israel Now! Free Palestine” flies overhead before the University of Michigan’s Spring 2024 Commencement Ceremony at Michigan Stadium in Ann Arbor, Mich., on Saturday, May 4, 2024. (Katy Kildee/Detroit News via AP)

A graduate holds his cap with an Israeli flag while shouting at pro-Palestinian protesters as they demonstrate during the University of Michigan’s Spring 2024 Commencement Ceremony at Michigan Stadium in Ann Arbor, Mich., Saturday, May 4, 2024. (Katy Kildee/Detroit News via AP)

• Copy Link copied

Students protesting the war in Gaza abandoned their camp at the University of Southern California early Sunday after being surrounded by police and threatened with arrest, while Northeastern University’s commencement ended peacefully at Boston’s Fenway Park.

Developments in both places were being watched closely following scores of arrests last month — more than 90 people at USC in Los Angeles and about 100 at Northeastern in Boston.

Dozens of Los Angeles Police Department officers arrived about 4 a.m. at USC to assist campus safety officers. The university had warned of arrests on social media and in person. Video showed some protesters packing up and leaving, while officers formed lines to push others away from the camp as it emptied out. The university said there were no reports of any arrests.

USC President Carol Folt said it was time to draw a line because “the occupation was spiraling in a dangerous direction” with areas of campus blocked and people being harassed.

“The operation was peaceful,” Folt wrote in an update. “Campus is opening, students are returning to prepare for finals, and commencement set-up is in full swing.”

USC earlier canceled its main graduation ceremony while allowing other commencement activities to continue.

Across town at the University of California, Los Angeles, officials announced the creation of a new chief safety officer position to oversee campus security operations. The announcement Sunday came after UCLA was criticized for its handling of demonstrations that culminated in a mob attack on a pro-Palestinian student encampment last week.

At the Northeastern commencement Sunday, some students waved small Palestinian and Israeli flags, but were outnumbered by those waving the flags of India and the U.S., among others. Undergraduate student speaker Rebecca Bamidele drew brief cheers when she called for peace in Gaza.

The Associated Press has tallied about 2,500 people arrested at about 50 campuses since April 18, based on its reporting and statements from universities and law enforcement.

Arrests continued apace over the weekend. At the University of Virginia, there were 25 arrests Saturday for trespassing after police clashed with protesters who refused to remove tents. At the Art Institute of Chicago campus, police cleared a pro-Palestinian encampment hours after it was set up Saturday and arrested 68 people, saying they would be charged with criminal trespass.

ARRESTS IN VIRGINIA

In Charlottesville, Virginia, student demonstrators began their protest on a lawn outside the school chapel Tuesday. Video on Saturday showed police in riot gear and holding shields lined up on campus, while protesters chanted “Free Palestine.”

As police moved in, students were pushed to the ground, pulled by their arms and sprayed with a chemical irritant, Laura Goldblatt, an assistant professor who has been helping the demonstrators, told The Washington Post. The university said protesters were told that tents were banned under school policy and were asked to remove them.

Virginia Attorney General Jason Miyares told Fox News on Sunday the police response was justified because students had been warned repeatedly to leave, were violating the school’s conduct code, and that outsiders who were not students provided protesters with supplies like wooden barriers.

“We’ve seen folks that are not students show up in riot gear with bull horns to direct the protesters on how to flank our officers,” Miyares said.

He said some had put bear spray into water bottles and thrown them at officers.

It was the latest clash in weeks of protests and tension at U.S. colleges and universities.

Tent encampments of protesters urging universities to stop doing business with Israel or companies they say support the war in Gaza have spread in a student movement unlike any other this century . Some schools reached agreements with protesters to end the demonstrations and reduce the possibility of disrupting final exams and commencements.

DEMONSTRATIONS AMID COMMENCEMENT

The University of Michigan was among the schools that had braced for protests during commencement this weekend, as were Indiana University, Ohio State University and Northeastern. More ceremonies are planned in the coming weeks.

In Ann Arbor, there was a protest at the beginning of the event at Michigan Stadium. About 75 people, many wearing traditional Arabic kaffiyehs along with their graduation caps, marched up the main aisle toward the stage.

They chanted “Regents, regents, you can’t hide! You are funding genocide!” while holding signs, including one that read: “No universities left in Gaza.”

Overhead, planes pulled banners with competing messages. “Divest from Israel now! Free Palestine!” and “We stand with Israel. Jewish lives matter.”

Officials said no one was arrested, and the protest didn’t seriously interrupt the nearly two-hour event, attended by tens of thousands of people, some of them waving Israeli flags.

OTHER PROTESTS CONTINUE

At Indiana University, protesters urged supporters to wear their kaffiyehs and walk out during remarks by school President Pamela Whitten on Saturday evening. The Bloomington campus designated a protest zone outside Memorial Stadium, where the ceremony was held.

At Princeton University in New Jersey, 18 students began a hunger strike to try to push the university to divest from companies tied to Israel. Students at other colleges, including Brown and Yale, launched similar hunger strikes this year before the more recent wave of demonstrations.

The protests stem from the conflict that started Oct. 7 when Hamas militants attacked southern Israel, killing about 1,200 people, mostly civilians, and taking roughly 250 hostages. Vowing to destroy Hamas, Israel launched an offensive in Gaza that has killed more than 34,500 Palestinians, about two-thirds of them women and children, according to the Health Ministry in the Hamas-ruled territory. Israeli strikes have devastated the enclave and displaced most of its inhabitants.

Perry reported form Meredith, New Hampshire, and Marcelo from New York. Also contributing were Associated Press reporters Christopher Weber in Los Angeles; Denise Lavoie in Richmond, Virginia; Ed White in Detroit, and Adrian Sainz in Memphis, Tennessee.

• Mayo Clinic Careers
• Anesthesiology
• Dermatology
• Emergency Medicine
• Family Medicine
• Internal Medicine
• Lung Transplant
• Psychiatry & Psychology
• Nurse Practitioner & Physician Assistant
• Ambulance Service
• Clinical Labs
• Med Surg RN
• Radiology Imaging
• Clinical Research Coordinator
• Respiratory Care
• Senior Care
• Surgical Services
• Travel Surgical Tech
• Practice Operations
• Administrative Fellowship Program
• Administrative Internship Program
• Career Exploration
• Nurse Residency and Training Program
• Nursing Intern/Extern Programs
• Residencies & Fellowships (Allied Health)
• Residencies & Fellowships (Medical)
• SkillBridge Internship Program
• Training Programs & Internships
• Diversity, Equity & Inclusion
• Employees with Disabilities

You're using Internet Explorer - therefore, some pages or features may not display properly. We recommend switching to a modern browser such as Chrome, Microsoft Edge, or Firefox for a smoother experience.

Search life-changing careers..

Search by Role or Keyword

Enter Location

• United States Applicants
• United Kingdom Applicants
• Current Employees

Manager-Risk Management/Patient Safety

• Phoenix, AZ
• Risk Management

Not ready to apply? Join our talent community

Responsible for development, implementation, coordination, and documentation of a clinical risk reduction and error prevention program. Management of patient matters that pose potential and actual liability for Mayo Clinic. Accountable for a patient safety program which includes the review and management of patient safety event reports for the identification of trends that incorporates clinical performance improvement projects to reduce the overall occurrence of patient safety events within Mayo Clinic Arizona. Responsible for Culture of Safety Program and Proactive Risk Assessment per regulatory guidelines. Ensures compliance to external rating and ranking agencies related to patient safety activities. Manages and promotes staff development.  Maintains productivity data related to Risk Management and Patient Safety activities.

This Position is 50% Remote; must live within driving distance of campus

** Visa sponsorship is not available for this position; Also, Mayo Clinic DOES NOT participate in the F-1 STEM OPT extension program**

During the selection process, you may participate in an OnDemand (pre-recorded) interview that you can complete at your convenience. During the OnDemand interview, a question will appear on your screen, and you will have time to consider each question before responding. You will have the opportunity to re-record your answer to each question - Mayo Clinic will only see the final recording. The complete interview will be reviewed by a Mayo Clinic staff member, and you will be notified of next steps. We value your interest in y the role and look forward to hearing back from you.

A minimum of five years of clinical risk management and patient safety experience in a hospital or healthcare setting is required. Relevant Mayo Clinic experience preferred. Past experience in a position with a history of direct reporting responsibilities and supervisory experience required. Bachelor of Science Degree required. Master's Degree or other advanced clinical degree preferred. Demonstrated ability to coordinate group activities, documented experience in design and implementation of systems improvement projects. Demonstrated effective clinical risk management and general liability claims managing experience, including negotiations of settlements and other forms of resolution. Demonstrated energy level, enthusiasm, and work ethic sufficient to motivate others toward change. Outstanding interpersonal skills; demonstrated ability to communicate effectively with physicians, members of other disciplines, and management/administration. Readiness to manage and resolve conflict proactively. Demonstrated skill at report development. Evidence of active involvement in organizational and/or department committees, task forces, or performance improvement teams. Demonstrated documented examples of ability to organize and analyze complex data and propose logical conclusions. Evidence of strict adherence to standards of confidentiality and regulatory standards.  Technical proficiencies with Microsoft Office, Teams, SharePoint, and other systems as identified.

About our location

Phoenix, Arizona

We would love to connect with you.

Click the button for a list of our upcoming events.

Join Our Talent Community

Sign up, stay connected and get opportunities that match your skills sent right to your inbox

Email Address

Phone Number

Upload Resume/CV (Must be under 1MB) Remove

Job Category* Select One Advanced Practice Providers Business Education Engineering Executive Facilities Support Global Security Housekeeping Information Technology Internship Laboratory Nursing Office Support Patient Care - Other Pharmacy Phlebotomy Physician Post Doctoral Radiology Imaging Research Scientist Surgical Services Therapy

Location Select Location Albert Lea, Minnesota Arcadia, Wisconsin Austin, Minnesota Barron, Wisconsin Bloomer, Wisconsin Caledonia, Minnesota Cannon Falls, Minnesota Chippewa Falls, Wisconsin Decorah, Iowa Duluth, Minnesota Eau Claire, Wisconsin Fairmont, Minnesota Holmen, Wisconsin Jacksonville, Florida Kasson, Minnesota La Crosse, Wisconsin Lake City, Minnesota London, England Mankato, Minnesota Menomonie, Wisconsin Minneapolis-St. Paul-Bloomington, Minnesota New Prague, Minnesota Onalaska, Wisconsin Osseo, Wisconsin Owatonna, Minnesota Phoenix, Arizona Prairie du Chien, Wisconsin Red Wing, Minnesota Rice Lake, Wisconsin Rochester, Minnesota Saint Cloud, Minnesota Saint James, Minnesota Scottsdale, Arizona Sparta, Wisconsin Tomah, Wisconsin Waseca, Minnesota Zumbrota, Minnesota

Area of Interest Select One Nursing Research Radiology Laboratory Medicine & Pathology Pharmacy Licensed Practical Nurse (LPN) Finance Facilities Surgery Physical Medicine & Rehabilitation General Services Cardiovascular Medicine Psychiatry & Psychology Respiratory Therapy Neurology Surgical Technician Ambulance Services Emergency Medicine Anesthesiology & Perioperative Medicine Social Work Environmental Services Gastroenterology & Hepatology International Mayo Collaborative Services Family Medicine Hematology Mayo Clinic Laboratories Radiation Oncology Education Medical Oncology Transplant Hospital Internal Medicine Orthopedics Administration Cardiovascular Surgery Global Security Information Technology Pediatrics Obstetrics & Gynecology General Internal Medicine Hospice & Palliative Care Ophthalmology Patient Scheduling Senior Care Urology Dermatology Desk Operations Office Support Critical Care Engineering Oncology Artificial Intelligence & Informatics Linen & Central Services Otolaryngology (ENT) Pulmonary/Sleep Medicine Community Internal Medicine Digital Nephrology & Hypertension Physiology & Biomedical Engineering Rheumatology Sports Medicine Surgical Assistant Biochemistry & Molecular Biology Clinical Genomics Endocrinology Epidemiology Molecular Medicine Regenerative Biotherapeutics Business Development Cancer Center Healthcare Technology Management Human Resources Immunology Infectious Diseases Informatics Molecular Pharmacology & Experimental Therapeutics Neurologic Surgery Primary Care Quality Clinical Nutrition Clinical Trials & Biostatistics Development/Philanthropy Health Care Delivery Research Information Security Marketing Neurosciences Pain Medicine Spiritual Care Travel Allergic Diseases Center for Individualized Medicine Comparative Medicine Dental Specialities Geriatric Medicine & Gerontology Legal Mayo Clinic Platform Occupational/Preventative Medicine Risk Management Spine Center Strategy Volunteer Services

• Business, Phoenix, Arizona, United States Remove

Confirm Email

By submitting your information, you consent to receive email communication from Mayo Clinic.

Join our talent community.

Join our global talent community to receive alerts when new life-changing opportunities become available.

If you want to know what it's really like at Mayo Clinic, just ask. You'll find that our pride–in where we work, and in what we do–is a common trait. You will also find a lot of inspiring stories about lives changed for the better.

Nurse Residency Program

The Nurse Residency Program (NRP) is for all nurses with less than 12 months of experience, to be completed within the first year. NRP provides a framework for a successful transtion to a professional nurse by promoting educational and personal advancement.

As your career evolves, our compensation and benefits packages are designed to change with you — meeting needs now, and anticipating what comes next. We know that when Mayo Clinic takes care of you, you can take better care of our patients.

Equal opportunity

All qualified applicants will receive consideration for employment without regard to race, color, religion, sex, gender identity, sexual orientation, national origin, protected veteran status, or disability status. Learn more about "EEO is the Law." Mayo Clinic participates in E-Verify and may provide the Social Security Administration and, if necessary, the Department of Homeland Security with information from each new employee's Form I-9 to confirm work authorization.

Reasonable accommodations

Mayo Clinic provides reasonable accommodations to individuals with disabilities to increase opportunities and eliminate barriers to employment.  If you need a reasonable accommodation in the application process; to access job postings, to apply for a job, for a job interview, for pre-employment testing, or with the onboarding process, please contact HR Connect at 507-266-0440 or  888-266-0440.

Job offers are contingent upon successful completion of a post offer placement assessment including a urine drug screen, immunization review and tuberculin (TB) skin testing, if applicable.

Recruitment Fraud

Learn more about recruitment fraud and job scams

Advertising

Mayo Clinic is a not-for-profit organization and proceeds from Web advertising help support our mission. Mayo Clinic does not endorse any of the third party products and services advertised.

Advertising and sponsorship policy | Advertising and sponsorship opportunities

Reprint permissions

A single copy of these materials may be reprinted for noncommercial personal use only. "Mayo," "Mayo Clinic," "MayoClinic.org," "Mayo Clinic Healthy Living," and the triple-shield Mayo Clinic logo are trademarks of Mayo Foundation for Medical Education and Research.

Any use of this site constitutes your agreement to the Terms and Conditions and Privacy Policy linked below.

Terms and Conditions | Privacy Policy | Notice of Privacy Practices | Notice of Nondiscrimination

© 1998-2024 Mayo Foundation for Medical Education and Research (MFMER). All rights reserved.