Cessionary

A cessionary is a person or entity to whom something is transferred or assigned, typically rights, property, or claims. It's the receiver in a transaction involving the relinquishment of ownership or control. The term emphasizes the recipient's role in acquiring the transferred asset or right, often in a legal or financial context. This contrasts with the 'cessor,' who is the one making the transfer. The cessionary gains rights that were previously held by the cessor, becoming the new owner or holder of those rights or assets. The process, often formalized through agreements, defines the extent of the transfer and the obligations of both parties. It implies a legal or contractual framework facilitating the shift of ownership or responsibility.

Cessionary meaning with examples

• In the bankruptcy case, the cessionary of the debtor's assets was the appointed trustee, responsible for liquidating the estate and distributing proceeds to creditors. They became responsible for managing and distributing the debtor's assets to the beneficiaries.
• The insurance company acted as the cessionary for the claims after the major disaster, taking over responsibility from the individual policyholders. The cessionary's role involved assessing the validity of claims and making payments.
• Upon the company's merger, the rights to the intellectual property became assigned to the new entity; the merged company became the cessionary of the patents and copyrights. The cessionary could use those rights to make a product.
• After a trade agreement, the foreign government was the cessionary of the mineral rights, allowing it to begin exploring and extracting resources in the region. The government's powers of the rights started after the assignment.