Novation Agreement
Definition
A Novation Agreement is an agreement through which one party transfers all its obligations and rights under a contract to a third party.
Benefits
A novation agreement provides flexibility in contracts, allowing obligations and rights to be transferred smoothly to a new party.
Frequently Asked Questions
What does novation agreement mean? A novation agreement means transferring all duties and rights from one party in a contract to a new party, with the consent of all involved parties.
What is novation Quizlet? Novation, according to Quizlet, involves replacing an original party or obligation in a contract with a new one, needing approval from everyone involved.
What is the transfer of obligations in a contract to a third party? The transfer of obligations in a contract to a third party is called novation.
Summary
A Novation Agreement allows the transfer of all contract obligations and rights to a third party, ensuring flexibility and continuity in contractual relationships.