Legal Questions

How is novation made?

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Novation is made either by changing the object or principal conditions, referred to as an objective or real novation; or by substituting the person of the debtor or subrogating a third person to the rights of the creditor, which is known as subjective or personal novation.

In both objective and subjective novation, a dual purpose is achieved - an obligation is extinguished and a new one is created in lieu thereof.

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