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 If a new contract is substituted in place of an existing contract is called :
  • a)
    Waiver 
  • b)
    Rescission 
  • c)
    Novation 
  • d)
    Alteration
Correct answer is option 'C'. Can you explain this answer?
Verified Answer
If a new contract is substituted in place of an existing contract is c...
Answer  : 
  • c)
    Novation 
 
Novation
 is the act of either replacing a party in contract with another or replacing one contractual obligation with another, requiring the consent of all parties involved.

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If a new contract is substituted in place of an existing contract is called :a)Waiverb)Rescissionc)Novationd)AlterationCorrect answer is option 'C'. Can you explain this answer?
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