Contracts
Novation in a real estate contract means:
AAdding new parties to an existing contract
BSubstituting a new contract or party for an existing one, releasing the original party from liability✓ Correct
CAmending contract terms without creating a new contract
DAssigning the contract to a third party
Explanation
Novation replaces an existing contract with a new one, or substitutes a new party for an original party with the consent of all parties. The original party is completely released from obligations under the new agreement.
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