ContractsIntermediateAlaska Exam

An Alaska lease that is transferable to another tenant by the current tenant is said to contain a:

ARight of first refusal
BAssignment clauseCorrect
CSubletting provision
DNovation agreement

Why Assignment clause Is Correct

Answer B: Assignment clause

An assignment clause in a lease allows the tenant to transfer (assign) the entire lease to another party. In a sublease, the original tenant remains obligated to the landlord while also entering a new landlord-tenant relationship with the sublessee.

Exam Tip: Contracts

Contract questions frequently test the essential elements required for a valid contract. Remember: competent parties, mutual consent, lawful object, and sufficient consideration. Watch for void vs. voidable distinctions.

Key Contracts Terms in This Question

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