Novation is made by the substitution of a new debtor in place of the old one, with intent to release the latter. Source: CivC 1877, § 864, subdiv 2; CL 1887, § 3488, subdiv 2; RCivC 1903, § 1182, subdiv 2; RC 1919, § 789 (2); SDC 1939, § 47.0238 (2).
Novation by substitution of debtor
SDCL § 20-7-7 — under ACCORD AND SATISFACTION, NOVATION AND RELEASE OF OBLIGATIONS.
SDCL § 20-7-7