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Commerce · Q20

Legal Aspects of Business

Graduate and Post Graduate · Commerce · question 20

Q20

A owes Rs. 10,000 to B under a contract. It is agreed between A, B and C that B shall henceforth accept C as his debtor instead of A for the same amount. Old debt of A is discharged and a new debt from C to B is contracted. This is

A.
Alteration of contract
B.
Rescission of contract
C.
Novation of contract
Answer
D.
Charge in contract

Answer: Option C

Solution

Answer: Option C
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