Subrogation is defined as which change?

Subrogation is defined as which change?

• A. Change of debtor
• B. Change of creditor
• C. Change of object
• D. Change of contract form

Answer: (B)

Subrogation is the substitution of the creditor by a third party who has paid the debt. When someone pays what another owes, they step into the creditor’s shoes and acquire all the rights the original creditor had against the debtor. The obligation itself stays, the debtor remains bound, and the contract isn’t changed in form or content—only who holds the right to demand payment changes. That makes it a change of creditor. For example, if a guarantor or insurer pays the owed amount, they become the creditor and can seek reimbursement from the debtor, just as the original creditor could. This is different from a change of debtor (which would imply novation or a new contract), a change of object (altering what is owed), or a change in contract form (changing how the contract is structured).

Subrogation is the substitution of the creditor by a third party who has paid the debt. When someone pays what another owes, they step into the creditor’s shoes and acquire all the rights the original creditor had against the debtor. The obligation itself stays, the debtor remains bound, and the contract isn’t changed in form or content—only who holds the right to demand payment changes. That makes it a change of creditor.

For example, if a guarantor or insurer pays the owed amount, they become the creditor and can seek reimbursement from the debtor, just as the original creditor could. This is different from a change of debtor (which would imply novation or a new contract), a change of object (altering what is owed), or a change in contract form (changing how the contract is structured).