P.R. Laws tit. 3, § 901

2019-02-20 00:00:00+00
§ 901. Transfer of Government contract or order prohibited; sureties excepted

Without prejudice to the exception provided in the three (3) final paragraphs of § 902 of this title, no contract or order, or any interest therein, shall be transferred by the party to whom such contract or order is given to any other party, and any such transfer shall cause the annulment of the contract or order transferred as far as the Commonwealth of Puerto Rico is concerned. All rights of action, however, for any breach of such contract by the contracting parties, are reserved to the Commonwealth of Puerto Rico; Provided, That the provisions of this section shall not apply where a failing or defaulting contractor, with the approval and consent of the head of the proper department, surrenders his contract to these sureties on the official bond of such contractor for the faithful performance of the contract, and such sureties undertake and satisfactorily carry out such contract.

History —Political Code, 1902, § 200; May 1, 1967, No. 16, p. 193.