Novation

{
  "id": "MLC-T-LAW-003486",
  "term": "Novation",
  "field": "Law",
  "definition": "The substitution of a new contract for an old one, or the replacement of one of the parties to a contract with a new party, with the mutual consent of all involved. This legal act extinguishes the original contract and its obligations, creating a new agreement. Novation requires the agreement of all original parties and the new party, distinguishing it from an assignment.",
  "url": "https://mlchart.com/terminology/law/novation/"
}