ICANBusiness LawLaw of Contract: Vitiating Factors and Discharge2020

The process whereby an existing contract is discharged by substituting it with a brand new contract, either between the same original parties or involving a new party with the consent of all parties concerned, is known as:

AAccord and satisfaction
BNovationCORRECT
CRescission ab initio
DSubrogation
AI
Toaster Teacher
Why the answer is B, and why the others tempt you.
Novation is the legal mechanism by which a new contract is substituted for an existing one, discharging the original contractual obligations. It requires the consent of all involved parties and may introduce a new party or alter fundamental obligations.
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