CAF-4 · Chapter 9 · Question 3 of 12
The substitution of a new contract in place of an existing one is legally known as:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Novation
Explanation
Novation occurs when a new contract is substituted for an old one, either between the same parties or different parties.
More Discharge of a contract MCQs
- Q5When a person at whose option a contract is voidable 'rescinds' it, the other party:
- Q6Which of the following describes 'discharge by operation of law'?
- Q7A contract is discharged by 'breach' when a party:
- Q8Azam owes Babar Rs. 5,000. Azam pays Babar, and Babar accepts, in satisfaction of the whole debt, Rs. 2,000 paid at the time and place at…
- Q9Alteration of a contract means: