The Release of One Contractual Party and the Substitution of Another

question 83

Multiple Choice

The release of one contractual party and the substitution of another party for the released party is called a(n) :

• A) substitution by law.
• B) removal and replacement.
• C) novation.
• D) adjudication.
• E) accord and satisfaction.

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Definitions:

Expected State

Refers to the predicted condition or status of an entity or economy based on current trends or models.

Unlever

The process of reducing or eliminating leverage (debt) within a company's capital structure.

Lend Out

The act of providing funds to another party with the expectation of being repaid, usually with interest.

Debt Issue

The process by which a government, corporation, or other entity raises money through the sale of bonds, notes, or other forms of debt.