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Practice and procedure — order of court — by consent — variation of — need for parties to apply to court for variation — not competent for parties to novate court order
Novation is an agreement between a creditor and a debtor in relation to an existing obligation, whereby the old debt between them is extinguished and a new obligation is created in the place of the old one. The parties to such an agreement are the creditor and the debtor. However, where the old agreement has been incorporated into a court order the parties cannot novate it. A court order has the same effect as a court's judgment, even if it was granted by consent. The parties must apply for an amendment to, or variation of, the court order if they want to depart from its terms.
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