Section 132 in The Transfer of Property Act, 1882

Title: Liability of transferee of actionable claim.

Description: The transferee of an actionable claim shall take it subject to all the liabilities and equities to which the transferor was subject in respect thereof at the date of the transfer. Illustrations (i) A transfers to C a debt due to him by B, A being then indebted to B. C sues B for the debt due by B to A. such suit B is entitled to set off the debt due by A to him; although C was unaware of it at the date of such transfer. (ii) A executed a bond in favour of B under circumstances entitling the former to have it delivered up and cancelled. B assigns the bond to C for value and without notice of such circumstances. C cannot enforce the bond against A.

Title: Warranty of solvency of debtor.

Description: Where the transferor of a debt warrants the solvency of the debtor, the warranty, in the absence of a contract to the contrary, applies only to his solvency at the time of the transfer, and is limited, where the transfer is made for consideration, to the amount or value of such consideration.

Title: Mortgaged debt.

Description: Where a debt is transferred for the purpose of securing an existing or future debt, the debt so transferred, if received by the transferor or recovered by the transferee, is applicable, first, in payment of the costs of such recovery; secondly, in or towards satisfaction of the amount for the time being secured by the transfer; and the residue, if any, belongs to the transferor or other person entitled to receive the same.

Title: Assignment of rights under policy of insurance against fire.

Description: 1[135. Assignment of rights under policy of insurance against fire.-- Every assignee by endorsement or other writing, of a policy of insurance against fire, in whom the property in the subject insured shall be absolutely vested at the date of the assignment, shall have transferred and vested in him all rights of suit as if the contract contained in the policy had been made with himself.] 1. Subs. by Act 6 of 1944, s. 3, for section 135.

Title: [Repealed.].

Description: 1[Assignment of rights under policy of marine insurance.] Rep. by the Marine Insurance Act, 1963 (11 of 1963), s. 92 (w.e.f. 1-8-1963).] 1. Ins. by s. 4, ibid.