Question

If the parties to a contract agree to substitute a new contract for it, or to rescind or alter it, the__________________

A Original contract, may be performed Correct Answer Incorrect Answer
B Original contract need not be performed Correct Answer Incorrect Answer
C Original contract remains valid although parties may enter into another contract Correct Answer Incorrect Answer
D Original contract is non-extinguishable Correct Answer Incorrect Answer
E Parties have the discretion to decide upon the same Correct Answer Incorrect Answer

Solution

Section 62. Effect of novation, rescission, and alteration of contract: If the parties to a contract agree to substitute a new contract for it, or to rescind or alter it, the original contract, need not be performed.

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