Cédant

Cédant is a term used in civil and commercial law to designate the party who transfers a right, claim, or asset to another party, the cessionnaire. The transfer is effected by a cession, which is the act of yielding or assigning the item in question. The cédant thus moves from owner or holder of the right to the cessionnaire, who becomes the new holder of the rights or claims.

The scope of the term is broad. It is commonly used in the context of cession de créance (assignment of a claim or receivable), cession de droit (transfer of rights under a contract or intellectual property, for example), and cession de fonds de commerce (transfer of a business or its assets). It also appears in corporate transactions, such as the sale of shares or the transfer of contractual rights within a corporate group. In these settings, the cédant is the party selling or transferring, while the cessionnaire is the buyer or transferee.

The effects of a cession depend on the type of cession and the governing law. Generally, once the cession is validly effected and, when required, properly notified to the debtor or relevant counterparties, the cessionnaire becomes entitled to demand performance from the debtor. The cédant’s involvement after the transfer depends on the terms of the underlying contract and any guarantees or warranties that may persist.

See also: cession, cession de créance, cession de droits, cession de fonds de commerce, assignor and assignee concepts in contract law.