§ 138 — State contracts not to be assigned without consent

§ 138. State contracts not to be assigned without consent. A clause\nshall be inserted in all specifications or contracts hereafter made or\nawarded by the state, or any public department or official thereof,\nprohibiting any contractor, to whom any contract shall be let, granted\nor awarded, as required by law, from assigning, transferring, conveying,\nsub-letting or otherwise disposing of the same, or of his right, title\nor interest therein, or his power to execute such contract to any other\nperson, company or corporation, without the previous consent in writing\nof the department or official awarding the same.\n If any contractor, to whom any contract is hereafter let, granted or\nawarded, as required by law, by the state, or by any public department\nor official thereof, shall, without the previous written consent\nspecified in the first paragraph of this section, assign, transfer,\nconvey, sublet or otherwise dispose of the same, or his right, title or\ninterest therein, or his power to execute such contract, to any other\nperson, company or other corporation, the state, public department or\nofficial, as the case may be, which let, made, granted or awarded said\ncontract, shall revoke and annul such contract, and the state, public\ndepartment or officer, as the case may be, shall be relieved and\ndischarged from any and all liability and obligations growing out of\nsaid contract to such contract, and to the person, company, or\ncorporation to whom he shall assign, transfer, convey, sublet or\notherwise dispose of the same, and said contractor, and his assignee,\ntransferee, or sub-lessee, shall forfeit and lose all moneys,\ntheretofore earned under said contract except so much as may be required\nto pay his employees; provided that nothing herein contained shall be\nconstrued to hinder, prevent or affect an assignment by such contract\nfor the benefit of his creditors, made pursuant to the statutes of this\nstate.\n Notwithstanding the provisions of this section, the commissioner of\ngeneral services and state agencies may, with concurrence of the office\nof state comptroller when the original contract was subject to the\noffice of state comptroller approval, waive prior written consent of an\nassignment, transfer, conveyance, sublease or other disposition of\ncontracts or monies under a contract let pursuant to article eleven of\nthis chapter. Such waiver may be granted under circumstances where the\ncontractor verifies to the commissioner of general services or state\nagency, as applicable, that the assignment, transfer, conveyance,\nsublease or other disposition is due to but not necessarily limited to,\na reorganization, merger or consolidation of the contractor's business\nentity or enterprise. The commissioner of general services and state\nagencies retain the right, as provided herein, to accept or reject an\nassignment, transfer, conveyance, sublease or other disposition by the\ncontractor.\n