Novation in the Civil Code of Romania
Novation in the Civil Code of Romania

Summary/Abstract: The idea of novation involves the transformation of the obligation relationship by extinguishing an old obligation and the emergence of a new obligation. The importance of the mechanism of novation in Romanian law was indisputable given that in this system of law many legal procedures were not admitted by which today the same unconditional effect is reached but more advantageous for the creditor (e.g. assignment of debt, personal subrogation, etc.). The last decades have urgently called into question the need for the existence of this legal figure. In the context of the complete disappearance of the mechanism in German law, some authors have invoked the futility of the novation, pointing out that the actual transformation of the obligation relationship can be achieved through other legal operations, stressing at the same time the disadvantage of using this legal figure, which leads to the loss of the guarantees of the initial obligation. Other authors emphasize the necessity of retaining a legal figure collateral to the novation of the obligation, namely the novation of the contract that would benefit from a real practical interest.

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