Partial Termination or Novation Clause Samples
The Partial Termination or Novation clause allows for the termination or transfer of only a portion of the rights, obligations, or interests under a contract, rather than the entire agreement. In practice, this means that specific services, deliverables, or contractual duties can be ended or assigned to a third party while the rest of the contract remains in effect. This clause is particularly useful when parties wish to modify their relationship without disrupting the entire agreement, providing flexibility and adaptability to changing circumstances.
Partial Termination or Novation. In the event that Party B is required to sell Selected Loans in the Portfolio in accordance with the LLP Deed, then, to the extent that such Selected Loans include Fixed Rate Loans, Party B may either
(a) by notice to Party A require that the Transactions will partially terminate in respect of a Notional Amount equal to the relevant Fixed Rate Loans that have been sold and on terms to be agreed with Party A, and the provisions of Section 6 shall apply mutatis mutandis in connection with such partial termination, or (b) require such Transactions to be partially novated to the purchaser of such Fixed Rate Loans, which novation (including any related amendments to the relevant Confirmations) shall be documented in such form as Party A, Party B and the purchaser may agree (which may be based on the novation documentation published by ISDA). For the avoidance of doubt, no termination payment will be due and payable pursuant to (b) above.