ABSTRACT
As previously noted,93 most shipbuilding contracts include provisions excluding or limiting the buyer’s right of assignment and arrangements of this type will therefore usually require the consent of the builder. Given the values typically involved, the bank will normally be unwilling to rely upon informal indications of such consent and will require that the buyer should procure that a specific acknowledgement of the assignment be provided by the builder to the bank. This will confirm the builder’s receipt of the notice of assignment and his agreement to complete the vessel for the bank’s account in the event of the buyer’s default.
