Final answer:
A novation agreement is the substitute contract Buyer A would use to bring in another party to share the purchase price of the property, with the seller's consent. It replaces an original party with a new party in a contract, transferring rights and obligations to the new party and releasing the original party from their commitments.
Step-by-step explanation:
The substitute contract that Buyer A would enter into with another party to share the purchase price of the property, with the seller's agreement, is commonly referred to as a novation agreement. A novation agreement is a legal instrument that replaces an original party in a contract with a new party, effectively transferring the rights and obligations to the newcomer while releasing the original party from their commitments under the previous agreement. In the situation described, because Buyer A can no longer afford the property on his own, he and the seller agree to a novation that brings in a new buyer to share the financial responsibility.
Choosing a novation agreement involves creating a new contract that supersedes the original. It is essential that all parties involved — including the original buyer, the new buyer, and the seller — agree to the terms and sign the new contract. This legal process ensures that all obligations and rights are clearly allocated amongst the involved parties in accordance with the new agreement.