New York Laws
Article 9 - Contracts
138 - State Contracts Not to Be Assigned Without Consent.

§ 138. State contracts not to be assigned without consent. A clause
shall be inserted in all specifications or contracts hereafter made or
awarded by the state, or any public department or official thereof,
prohibiting any contractor, to whom any contract shall be let, granted
or awarded, as required by law, from assigning, transferring, conveying,
sub-letting or otherwise disposing of the same, or of his right, title
or interest therein, or his power to execute such contract to any other
person, company or corporation, without the previous consent in writing
of the department or official awarding the same.

If any contractor, to whom any contract is hereafter let, granted or
awarded, as required by law, by the state, or by any public department
or official thereof, shall, without the previous written consent
specified in the first paragraph of this section, assign, transfer,
convey, sublet or otherwise dispose of the same, or his right, title or
interest therein, or his power to execute such contract, to any other
person, company or other corporation, the state, public department or
official, as the case may be, which let, made, granted or awarded said
contract, shall revoke and annul such contract, and the state, public
department or officer, as the case may be, shall be relieved and
discharged from any and all liability and obligations growing out of
said contract to such contract, and to the person, company, or
corporation to whom he shall assign, transfer, convey, sublet or
otherwise dispose of the same, and said contractor, and his assignee,
transferee, or sub-lessee, shall forfeit and lose all moneys,
theretofore earned under said contract except so much as may be required
to pay his employees; provided that nothing herein contained shall be
construed to hinder, prevent or affect an assignment by such contract
for the benefit of his creditors, made pursuant to the statutes of this
state.

Notwithstanding the provisions of this section, the commissioner of
general services and state agencies may, with concurrence of the office
of state comptroller when the original contract was subject to the
office of state comptroller approval, waive prior written consent of an
assignment, transfer, conveyance, sublease or other disposition of
contracts or monies under a contract let pursuant to article eleven of
this chapter. Such waiver may be granted under circumstances where the
contractor verifies to the commissioner of general services or state
agency, as applicable, that the assignment, transfer, conveyance,
sublease or other disposition is due to but not necessarily limited to,
a reorganization, merger or consolidation of the contractor's business
entity or enterprise. The commissioner of general services and state
agencies retain the right, as provided herein, to accept or reject an
assignment, transfer, conveyance, sublease or other disposition by the
contractor.

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