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On a D&C pursuit you stop advising and start owning. Know the exact step.


Design-and-construct and early contractor involvement move design duty (sometimes to you, sometimes through novation) in stages, each with unpaid effort attached; the pursuit decision is knowing the exact step at which you stop advising and start owning. This is the consultants & advisory playbook for engineering suppliers only, not general head-contracting advice. Contract forms underneath are on AS forms and bespoke contracts.

Published: 16 September 2026 · By Andre · Reviewed by Bill · selrob

Takeaways

  • D&C transfers design responsibility to the delivery side; read who holds it at each stage.
  • ECI pays early involvement in stages; unpaid tender design is a separate, capped decision.
  • Novation moves your client mid-stream: consent, terms, and liability follow the paper.

When does design duty change hands?

Hypothetical, to show the shape: an ECI phase one pays for concept development with the contractor; phase two novates the design team to the D&C contractor for delivery documentation. Duty moves twice: first into shared development, then into contractor ownership with fitness-for-purpose language. Each move changes insurance needs, liability exposure, and who instructs you; read the novation and assignment mechanics the way novation and assignment describes, applied to your own appointment.

Delay exposure moves with it: liquidated damages written for a construct-only world read differently once design risk sits with the delivery side; see delay caps. Map duty per stage before pricing any of them.

What unpaid effort does each stage demand?

Tender-stage design to win ECI selection: capped hours with a walk-away number agreed beforehand. ECI development effort against fee structures that rarely cover full cost: margin modelled net of the learning value, honestly. D&C tender design at risk: the largest unpaid number on this page, spent only where the gate is genuinely green and the win probability earns it. Unpaid effort is pursuit cost; it belongs in the economics, not in professional pride.

What does the gate look like?

Stage commitment mapped with duty holder per stage. Novation terms read before ECI signature, not at phase-two surprise. Unpaid effort capped per stage with kill triggers. If any stage’s duty exceeds the firm’s insurance, appetite, or competence, the call is no before the design hours start.

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