Novation

Novation is the substitution of a new debt or obligation for an existing one.

Civ. Code Cal. § 1530; Civ. Code Dak. § 863; Hard v. Burton, 62 Vt. 314, 20 Atl. 269; McCartney v. Kipp, 171 Pa. 644, 33 Atl. 233; McDonnell v. Alabama Gold L. Ins. Co., 85 Ala. 401, 5 South. 120; Shafer's Appeal, 99 Pa. 246.

Novation is a contract, consisting of two stipulations,—one to extinguish an existing obligation; the other to substitute a new one in its place.

Civ. Code La. art 2185.

The term was originally a technical term of the civil law, but is now in very general use in English and American jurisprudence. In the civil law, there are three kinds of novation: (1) Where the debtor and creditor remain the same, but a new debt takes the place of the old one; (2) where the debt remains the same, but a new debtor is substituted; (3) where the debt and debtor remain, but a new creditor is substituted.

Adams v. Power, 48 Miss. 451.