CLLS and CIC Novation Agreements

This Practice Note looks at the standard form novation Agreements published by the City of London Law Society (CLLS) and the Construction Industry Council (CIC).

Novation is now a very common feature in construction projects. It occurs in a number of different scenarios but has, in particular, become accepted practice on projects procured on a design and build basis. For more on novation in general, see Practice Note: Novation in construction projects.

It is common for parties involved in construction projects to use their own, bespoke forms of novation agreement and, as a result, there are very many different forms in circulation. However, in 2004, two standard forms were published—one by the construction committee of the CLLS and one by the CIC. A further ‘ab initio’ version was published by the CIC in November 2018, and a second edition of the ‘switch’ version was published in July 2021. Each of these novation agreements are short and uncomplicated documents which avoid superfluous provisions, but they take different approaches to novation of the Consultant. They do, however, each address