To cede is to give up or surrender power or territory.(verb)
An example of cede is when an army backs up from a territory that they had previously claimed, giving it to the enemy.
See cede in Webster's New World College Dictionary
See cede in American Heritage Dictionary 4
transitive verb ced·ed, ced·ing, cedes
Origin: French céder
Origin: , from Old French
Origin: , from Latin cēdere; see ked- in Indo-European roots.
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