New York § 446 - 446Restriction on assignment of obligation
Full text of New York New York Consolidated Laws § 446 — 446Restriction on assignment of obligation, with citation guidance and answers to common questions.
§ 446. 446Restriction on assignment of obligation
§ 446. Restriction on assignment of obligation. 1. A seller shall not negotiate, transfer, sell or assign any note or other evidence of indebtedness to a finance company or other third party prior to midnight of the fifth business day following the day the seller sent written notice to the buyer informing the buyer of his right to cancel. 2. The assignee of any note or evidence of indebtedness shall be subject to all claims and defenses of the buyer against the seller arising from the sale notwithstanding any agreement to the contrary, but the assignee's liability under this subdivision shall not exceed the amount owing to the assignee at the time the claim or defense is asserted against the assignee. Rights of the buyer under this section can be asserted affirmatively against a claim by the assignee.
Source: official New York text · Last verified 2026-08-27
Frequently Asked Questions About New York § 446
What does New York Consolidated Laws § 446 cover?
Section 446 ("446Restriction on assignment of obligation") is part of the New York Consolidated Laws, the codified statutory law of New York. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite New York § 446?
A common citation format is "New York Consolidated Laws § 446" (New York). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of New York law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the New York official source linked on this page or consult a licensed New York attorney.
How does New York § 446 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in New York can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in New York.