novation
/noʊˈveɪʃən/ · noun
Meaning
- Replacement of a contract with one or more new contracts, in particular in financial markets the replacement of a contract between a particular buyer and seller with contracts between the clearing house and each party.
- A new contract between the original contracting parties whereby the first obligation is extinguished and a new obligation is substituted.
Etymology / origin
No prose etymology has been added yet.
No ancestor words have been linked yet.
Related words
Descendant words
No descendant words have been linked yet.