ContractsQuestion 61 of 120
If a buyer and seller mutually agree to cancel their contract and return to their pre-contract positions, this is called:
a.Rescission
b.Novation
c.Specific performance
d.Assignment
Explanation
Rescission is the cancellation of a contract that returns the parties to their original positions, as if the contract had not been made. It can be mutual or, in some cases, granted by a court. Any consideration exchanged is typically returned.
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