Section 132 of TPA : Section 132: Liability Of Transferee Of Actionable Claim

Explanation using Example

Imagine Sarah sells a piece of art to John and promises that if the art is not authentic, she will refund him. Later, Sarah transfers the right to receive payment from John to her friend, Rachel, without telling her about the authenticity guarantee. When John discovers the art is a fake, he refuses to pay Rachel, citing the refund promise from Sarah. Rachel, under Section 132, must accept that her right to payment is subject to the same condition that Sarah originally agreed to with John.