ab6704a Posted January 24, 2012 Report Share Posted January 24, 2012 The company I work for is selling a portion of its business to another corporation, we'll call it ABC, Corp. That portion of the business holds prime Gov't contracts so we'll be going through the process of a novation agreement. My question is, how to we address the transfer of the subcontractors to ABC Corp? Obviously we'll be notifying the subcontractor of the acquisition and novation, but should we be drafting some type of agreement with the subcontractor that facilitates the transfer of their subcontracts to ABC, Corp? Or does the responsibility for transferring the subcontracts rest with the acquiring company? I have very little experience with novations and none dealing with subcontractors affected by a novation agreement so any feedback would be appreciated. Thanks. Link to comment Share on other sites More sharing options...
Guest Vern Edwards Posted January 25, 2012 Report Share Posted January 25, 2012 The best feedback that anyone can give you is to consult an attorney. Link to comment Share on other sites More sharing options...
joel hoffman Posted January 25, 2012 Report Share Posted January 25, 2012 The best feedback that anyone can give you is to consult an attorney. I agree. Subcontracts are usually subject to state laws. Hire lawyers who deal with contract law at the various states' level. Link to comment Share on other sites More sharing options...
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