MBE Contracts Practice Test 2026 – The Comprehensive All-in-One Guide to Exam Success!

Assignment of rights does not erase the obligation; it changes who has the right to demand performance. When rights under a contract are assigned, the obligor remains bound by the contract, and the person who now holds the right to receive performance—the assignee—may sue the obligor directly for breach. The original party typically loses standing to sue, unless a separate agreement (novation) substitutes the assignee as the contractual party and releases the original party. Delegation is about who performs, not who bears the liability, so the obligor’s liability doesn’t shift to a delegatee. So the obligor stays liable under the contract, and the assignee has the right to sue.