An)_____ is an agreement that transfers all rights and duties to a new party to the contract and releases the previous party from any further obligation arising from the original contract.
A)assignment
B)novation
C)delegation
D)quantum meruit
E)formation

Question

Quizplus · Accepted Answer

Novation is the only option that includes the release of the previous party from any further obligation. Assignment transfers rights but does not release the original party from the obligation, while delegation transfers duties but does not release the original party from the obligation. Quantum meruit refers to a legal theory of fair compensation, and formation refers to the process of creating a contract, neither of which fit the definition provided.

An)_____ Is an Agreement That Transfers All Rights and Duties