Contracts
Novation in contract law means:
AAdding an addendum to an existing contract
BSubstituting a new party or obligation for an old one, releasing the original party✓ Correct
CVoiding a contract due to misrepresentation
DExtending the closing date of a purchase agreement
Explanation
Novation substitutes a new party or a new obligation for an existing one, with the agreement of all parties, and releases the original party from their obligation.
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