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rescission. n. the cancellation of a contract by mutual agreement of the parties. (See: rescind). See: abandonment, abolition, ademption, annulment, avoidance, cancellation, countermand, defeasance, discharge, dissolution, negation, repudiation, reversal, termination.
The law gives you the right to cancel a mortgage refinance or home equity loan. But only if you act quickly, and follow the rules to the letter. A little-known power called the right of rescission gives borrowers the ability, in certain circumstances, to cancel their loan deals within three days, no questions asked, and walk away. Right of rescission is another way of saying right to rescind a contract.