Guidance Note - The Project Owner needs to consider whether it is appropriate that all of the NOPs are jointly and severally liable to the Project Owner for the obligations of the NOPs under the Agreement. For example, there may be some alliances where other State Government Agencies are Participants in the alliance and for which joint and several liability will not be appropriate. In addition, there may be some alliances where some other form of liability (i.e. joint liability or several liability) is mandated.

Where the Project Owner determines that joint and several liability or joint liability of the NOPs is appropriate under the Agreement, it is expected that the liabilities of the NOPs as between themselves will be dealt with separately by the NOPs (including under a joint venture agreement where applicable).