/noʊˈveɪʃən/ – Noun
Definition: Sự thay thế hoặc thay đổi hợp đồng bằng việc thêm vào hoặc thay thế một bên tham gia mới.
A more thorough explanation: the replacement of an existing contract with a new one so that either 1. an existing obligation is replaced with a new one, or2. a party is added to a new contract who was not party under the old contract
Example: After novation, the company assumed liability for the contracts entered into by Ranger Ltd.