Renunciation

In the context of a rights issue, the act of renouncing the right to subscribe for shares (when the shares are in nil paid form) or the right to be entered in the company’s share register (when the shares are fully paid).

In the context of the right to probate or administration of an estate, the act of either an executor or an administrator of a deceased's estate, by which he relinquishes the right to act in the administration.

In the context of a contract, a renunciation occurs when one party, by words or conduct, evinces an intention not to perform, or expressly declares that they will be unable to perform their obligations under the contract in some essential respect. The renunciation may occur before or at the time of performance. Short of an absolute refusal to perform, the test is to ascertain whether the actions of the defaulting party would lead a reasonable person to conclude that the other party no longer intends to be bound by the contract and whether the non-performance of that obligation would entitle the innocent party to treat the contract as discharged.