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Legal Documents series of 2010
DEED OF NOVATION
1st Party, having its address at ___________________________________
(specify party) of (specify address) (Subcontractor)
(specify party) of (specify address) (Beneficiary)
By agreement dated _________ (Contract), the 1st party engaged the 2nd party for,
and the 2nd party agreed to undertake ___________________________________
for the project known as _____________________.
Subject to this agreement, the Beneficiary has agreed to accept the Beneficiary in
place of the 1st party's liabilities and obligations under the Contract.
Subject to this agreement, the 2nd party has agreed to accept the Beneficiary in
place of the 1st party for the performance of the obligations of the 1st party and to
release completely and discharge the 1st party from all of its obligations under the
contract and from all claims and demands in respect of it.
Beneficiary assumes 1st party's Obligations
The Beneficiary must perform all of the obligations of the 1st party under
the contract which are not performed at the date of this agreement. The
Beneficiary is bound by the contract as if the Beneficiary had originally
been named in the Contract in place of the 2nd party.
Release and discharge
Subject to the 1st party paying the 2nd party all fees due to it at the date of
this agreement, the 2nd party:
releases and forever discharges the 1st party from its obligations
under the contract and from all claims and demands in respect of
the Contract; and
subject to this agreement, accepts the liability of the Beneficiary in
place of the liability of the 1st party.