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Contracts • Third Parties
K#193
Legal Definition
The party to the contract who later transfers their duties to another is the "delegator," the non-party to the original contract, now responsible for performing the delegator's duties under the contract is the "delegatee," and the other, non-delegator party to the contract who will receive the delegates performance (i.e., third-party beneficiary to the delegator-delegatee contract) is the "obligee."
Plain English Explanation
In contracts, there are three important roles when it comes to the delegation of duties: the delegator, the delegatee, and the obligee.
The delegator is the party in the original contract who decides to transfer their duties to someone else. This person is still ultimately responsible for ensuring the duty gets done, even though they’re passing the responsibility to another.
The delegatee is the person who takes on the duty from the delegator. This person was not originally part of the contract, but now they are responsible for performing the duties that were transferred to them.
The obligee is the other party in the original contract—the one who will receive the benefit of the delegatee's performance. The obligee expects the duty to be fulfilled, whether it's done by the original party (the delegator) or the new person (the delegatee). In a way, the obligee becomes a third-party beneficiary to the arrangement between the delegator and delegatee.
For example, if Bob originally agreed to mow Amy's lawn, Bob is the delegator. If Bob asks Sam to mow the lawn instead, Sam becomes the delegatee, the person now responsible for mowing the lawn. Amy, who still expects her lawn to be mowed, is the obligee, as she’s the one who benefits from the performance, whether it’s done by Bob or Sam.
The delegator is the party in the original contract who decides to transfer their duties to someone else. This person is still ultimately responsible for ensuring the duty gets done, even though they’re passing the responsibility to another.
The delegatee is the person who takes on the duty from the delegator. This person was not originally part of the contract, but now they are responsible for performing the duties that were transferred to them.
The obligee is the other party in the original contract—the one who will receive the benefit of the delegatee's performance. The obligee expects the duty to be fulfilled, whether it's done by the original party (the delegator) or the new person (the delegatee). In a way, the obligee becomes a third-party beneficiary to the arrangement between the delegator and delegatee.
For example, if Bob originally agreed to mow Amy's lawn, Bob is the delegator. If Bob asks Sam to mow the lawn instead, Sam becomes the delegatee, the person now responsible for mowing the lawn. Amy, who still expects her lawn to be mowed, is the obligee, as she’s the one who benefits from the performance, whether it’s done by Bob or Sam.
Hypothetical
Hypo 1: Bob hires Sam to mow his lawn. Sam hires Amy to mow Bob's lawn for him. Result: Sam is the delegator. Amy is the delegatee. Bob is the obligee.
Visual Aids
Related Concepts
In a third-party beneficiary situation, who is the third-party beneificiary, who is the promisor, and who is the promisee?
What are the implied warranties of an assignor in an assignment for consideration?
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What duties are not delegable?
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What is an assignment?
What is an assignor?
What is an obligee?
What is an obligor?
What is a promisee?
What is a promisor?
What is the difference between an assignment and a delegation?
What is the difference between an incidental and intended beneficiary?
What is the effect of a clause prohibiting assignment?
What is the effect of a contract containing no language about assignment rights?
What is the effect of consideration on assignment rights?
What is the effect of invalidation language on assignment?
What two types of intended beneficiaries are there?
When are modification agreements between the obligor and assignor effective?
When can an assignee sue an obligor for payments to the assignor?
When do a third party's rights to enforce the contract vest?
When does delegation of duties occur?
Who can sue whom in a suit involving beneficiaries, promisees, and promisors?
Who can sue whom in a suit involving the assignment of rights?
Who can sue whom in a suit involving the delegation of duties?
Who prevails when the same rights have been assigned to multiple parties?
