Title 11, Chapter 9, Section 403
Agreement not to assert defenses against assignee.
(a) "Value." As used in this Code section, the term "value" has the meaning provided in subsection (a) of Code Section 11-3-303.
(b) Agreement not to assert claim or defense. Except as otherwise
provided in this Code section, an agreement between an account
debtor and an assignor not to assert against an assignee any claim
or defense that the account debtor may have against the assignor is
enforceable by an assignee that takes an assignment:
(1) For value;
(2) In good faith;
(3) Without notice of a claim of a property or possessory right to
the property assigned; and
(4) Without notice of a defense or claim in recoupment of the type that may be asserted against a person entitled to enforce a negotiable instrument under subsection (a) of Code Section 11-3-305.
(c) When subsection (b) of this Code section not applicable. Subsection (b) of this Code section does not apply to defenses of a type that may be asserted against a holder in due course of a negotiable instrument under subsection (b) of Code Section 11-3-305.
(d) Omission of required statement in consumer transaction. In a
consumer transaction, if a record evidences the account debtor's
obligation, law other than this article requires that the record
include a statement to the effect that the rights of an assignee are
subject to claims or defenses that the account debtor could assert
against the original obligee, and the record does not include such a
(1) The record has the same effect as if the record included such
a statement; and
(2) The account debtor may assert against an assignee those claims
and defenses that would have been available if the record included
such a statement.
(e) Rule for individual under other law. This Code section is
subject to law other than this article which establishes a different
rule for an account debtor who is an individual and who incurred the
obligation primarily for personal, family, or household purposes.
(f) Other law not displaced. Except as otherwise provided in
subsection (d) of this Code section, this Code section does not
displace law other than this article which gives effect to an
agreement by an account debtor not to assert a claim or defense
against an assignee.