What does the term 'succession' refer to in a contract context?

In a contract context, 'succession' refers to the transfer of contract benefits and burdens by law. This occurs when a party in a contract dies or is replaced, and the rights and obligations under that contract are passed on to another party, usually as determined by legal principles.

The concept of succession enables the continuity of contractual obligations and benefits, ensuring that agreements remain effective even when parties change—essentially upholding the integrity of contracts across different stakeholders. It is particularly relevant in situations involving inheritance or mergers, where rights and responsibilities must naturally transition to new entities or individuals according to the law.

The other choices do not accurately encapsulate the essence of 'succession' in a contractual context. The transfer of legal responsibilities pertains more to specific duties rather than the whole scope of benefits and burdens. Revocation relates to the cancellation or annulment of agreements, while modification involves changing existing terms rather than transferring them outright. Hence, understanding succession as the transfer of both benefits and burdens is crucial in grasping how contracts operate legally in such situations.