e) A third party may be substituted for one of the original contracting parties through the process of novation.

Yes, that's correct. Novation is a legal process in which an existing contract is replaced by a new one. Here are the steps involved:

1. All parties involved must agree: The original contracting parties and the third party must all agree to the novation. This agreement can be verbal or in writing, but it's always safer to have it in writing.

2. The original contract is extinguished: Once the novation agreement is in place, the original contract is extinguished. This means that the original contracting parties are no longer bound by its terms.

3. A new contract is created: The novation agreement acts as a new contract. This new contract has the same terms as the original one, but one of the original parties is replaced by the third party.

4. The third party takes on the obligations of the original party: The third party is now bound by the terms of the contract. They take on all the obligations that the original party had under the contract.

5. The original party is released from their obligations: Once the third party takes on the obligations, the original party is released from any obligations under the contract.

So, in summary, novation is a process that allows a third party to take the place of one of the original contracting parties, with the agreement of all parties involved.