equipment lease agreements typically contain language prohibiting the lessee from assigning the lease to a third party. for example, "you have no right to sell, transfer, assign, sublease, or encumber the equipment or this agreement" protects the lessor’s collateral and credit underwriting guidelines in the event the lessee ever wants to transfer the lease to another party. however, it is possible to assign the lease, but the new party (assignee) will be subject to the lessor’s credit evaluation process and approval. even if the assignee is approved, the existing lessee’s (assignor’s) personal guarantee(s), if any, might not be released unless the assignee’s credit stature is extremely strong.