Parties

Parties: confirm each party's name, legal status and authority to grant the relevant rights/perform the relevant obligations

A novation will be a tripartite agreement between the incoming party, the outgoing party and the continuing party—consent of all parties is required

An assignment will be between the assignor and the assignee—consent of the non-assigning party will be needed only if the contract terms require this.

Third parties: confirm whether there are any relevant third parties.

Nature of relationship and background confirm:

• whether the parties to the novation/assignment are at arm's length or related

• whether there are any conditions precedent/contingencies that need to be fulfilled, eg the asset purchase being effected under an asset sale agreement or an outsourcing agreement being entered into with the incoming party as outsourced services provider

• the transaction or other context in which the need to novate/assign the relevant contract (‘transferring contract') has arisen, ie asset purchase, outsourcing agreement, etc.