diff --git a/libnetwork/agent.go b/libnetwork/agent.go
index eea1c5a0c9..b3790fd93c 100644
--- a/libnetwork/agent.go
+++ b/libnetwork/agent.go
@@ -62,7 +62,7 @@ func resolveAddr(addrOrInterface string) (string, error) {
 }
 
 func (c *controller) agentInit(bindAddrOrInterface string) error {
-	if !c.cfg.Daemon.IsAgent {
+	if !c.isAgent() {
 		return nil
 	}
 
@@ -94,12 +94,12 @@ func (c *controller) agentInit(bindAddrOrInterface string) error {
 	return nil
 }
 
-func (c *controller) agentJoin(remotes []string) error {
+func (c *controller) agentJoin(remote string) error {
 	if c.agent == nil {
 		return nil
 	}
 
-	return c.agent.networkDB.Join(remotes)
+	return c.agent.networkDB.Join([]string{remote})
 }
 
 func (c *controller) agentDriverNotify(d driverapi.Driver) {
@@ -126,6 +126,7 @@ func (c *controller) agentClose() {
 	c.agent.epTblCancel()
 
 	c.agent.networkDB.Close()
+	c.agent = nil
 }
 
 func (n *network) isClusterEligible() bool {
diff --git a/libnetwork/cluster/provider.go b/libnetwork/cluster/provider.go
new file mode 100644
index 0000000000..3b91a41ff8
--- /dev/null
+++ b/libnetwork/cluster/provider.go
@@ -0,0 +1,10 @@
+package cluster
+
+// Provider provides clustering config details
+type Provider interface {
+	IsManager() bool
+	IsAgent() bool
+	GetListenAddress() string
+	GetRemoteAddress() string
+	ListenClusterEvents() <-chan struct{}
+}
diff --git a/libnetwork/cmd/dnet/dnet.go b/libnetwork/cmd/dnet/dnet.go
index 885691f009..7c827b8209 100644
--- a/libnetwork/cmd/dnet/dnet.go
+++ b/libnetwork/cmd/dnet/dnet.go
@@ -16,6 +16,7 @@ import (
 	"syscall"
 	"time"
 
+	"github.com/BurntSushi/toml"
 	"github.com/codegangsta/cli"
 	"github.com/docker/docker/opts"
 	"github.com/docker/docker/pkg/discovery"
@@ -64,13 +65,31 @@ func main() {
 	}
 }
 
-func parseConfig(cfgFile string) (*config.Config, error) {
+// ParseConfig parses the libnetwork configuration file
+func (d *dnetConnection) parseOrchestrationConfig(tomlCfgFile string) error {
+	dummy := &dnetConnection{}
+
+	if _, err := toml.DecodeFile(tomlCfgFile, dummy); err != nil {
+		return err
+	}
+
+	if dummy.Orchestration != nil {
+		d.Orchestration = dummy.Orchestration
+	}
+	return nil
+}
+
+func (d *dnetConnection) parseConfig(cfgFile string) (*config.Config, error) {
 	if strings.Trim(cfgFile, " ") == "" {
 		cfgFile = os.Getenv(cfgFileEnv)
 		if strings.Trim(cfgFile, " ") == "" {
 			cfgFile = defaultCfgFile
 		}
 	}
+
+	if err := d.parseOrchestrationConfig(cfgFile); err != nil {
+		return nil, err
+	}
 	return config.ParseConfig(cfgFile)
 }
 
@@ -91,15 +110,6 @@ func processConfig(cfg *config.Config) []config.Option {
 		dd = cfg.Daemon.DefaultDriver
 	}
 	options = append(options, config.OptionDefaultDriver(dd))
-	if cfg.Daemon.IsAgent {
-		options = append(options, config.OptionAgent())
-	}
-
-	if cfg.Daemon.Bind != "" {
-		options = append(options, config.OptionBind(cfg.Daemon.Bind))
-	}
-
-	options = append(options, config.OptionNeighbors(cfg.Daemon.Neighbors))
 
 	if cfg.Daemon.Labels != nil {
 		options = append(options, config.OptionLabels(cfg.Daemon.Labels))
@@ -220,7 +230,17 @@ type dnetConnection struct {
 	// proto holds the client protocol i.e. unix.
 	proto string
 	// addr holds the client address.
-	addr string
+	addr          string
+	Orchestration *NetworkOrchestration
+	configEvent   chan struct{}
+}
+
+// NetworkOrchestration exported
+type NetworkOrchestration struct {
+	Agent   bool
+	Manager bool
+	Bind    string
+	Peer    string
 }
 
 func (d *dnetConnection) dnetDaemon(cfgFile string) error {
@@ -228,10 +248,12 @@ func (d *dnetConnection) dnetDaemon(cfgFile string) error {
 		return fmt.Errorf("failed to start test driver: %v\n", err)
 	}
 
-	cfg, err := parseConfig(cfgFile)
+	cfg, err := d.parseConfig(cfgFile)
 	var cOptions []config.Option
 	if err == nil {
 		cOptions = processConfig(cfg)
+	} else {
+		logrus.Errorf("Error parsing config %v", err)
 	}
 
 	bridgeConfig := options.Generic{
@@ -248,6 +270,11 @@ func (d *dnetConnection) dnetDaemon(cfgFile string) error {
 		fmt.Println("Error starting dnetDaemon :", err)
 		return err
 	}
+	controller.SetClusterProvider(d)
+
+	if d.Orchestration.Agent || d.Orchestration.Manager {
+		d.configEvent <- struct{}{}
+	}
 
 	createDefaultNetwork(controller)
 	httpHandler := api.NewHTTPHandler(controller)
@@ -271,6 +298,26 @@ func (d *dnetConnection) dnetDaemon(cfgFile string) error {
 	return http.ListenAndServe(d.addr, r)
 }
 
+func (d *dnetConnection) IsManager() bool {
+	return d.Orchestration.Manager
+}
+
+func (d *dnetConnection) IsAgent() bool {
+	return d.Orchestration.Agent
+}
+
+func (d *dnetConnection) GetListenAddress() string {
+	return d.Orchestration.Bind
+}
+
+func (d *dnetConnection) GetRemoteAddress() string {
+	return d.Orchestration.Peer
+}
+
+func (d *dnetConnection) ListenClusterEvents() <-chan struct{} {
+	return d.configEvent
+}
+
 func handleSignals(controller libnetwork.NetworkController) {
 	c := make(chan os.Signal, 1)
 	signals := []os.Signal{os.Interrupt, syscall.SIGTERM, syscall.SIGQUIT}
@@ -354,7 +401,7 @@ func newDnetConnection(val string) (*dnetConnection, error) {
 		return nil, fmt.Errorf("dnet currently only supports tcp transport")
 	}
 
-	return &dnetConnection{protoAddrParts[0], protoAddrParts[1]}, nil
+	return &dnetConnection{protoAddrParts[0], protoAddrParts[1], &NetworkOrchestration{}, make(chan struct{}, 10)}, nil
 }
 
 func (d *dnetConnection) httpCall(method, path string, data interface{}, headers map[string][]string) (io.ReadCloser, http.Header, int, error) {
diff --git a/libnetwork/cmd/dnet/libnetwork.toml b/libnetwork/cmd/dnet/libnetwork.toml
index 2033ae6158..d45364dc41 100755
--- a/libnetwork/cmd/dnet/libnetwork.toml
+++ b/libnetwork/cmd/dnet/libnetwork.toml
@@ -11,3 +11,6 @@ title = "LibNetwork Configuration file"
 [datastore.client]
   provider = "consul"
   Address = "localhost:8500"
+[orchestration]
+  agent = true
+  peer="2.2.2.2"
diff --git a/libnetwork/config/config.go b/libnetwork/config/config.go
index 62d9993a90..092e331d7d 100644
--- a/libnetwork/config/config.go
+++ b/libnetwork/config/config.go
@@ -8,6 +8,7 @@ import (
 	"github.com/docker/docker/pkg/discovery"
 	"github.com/docker/docker/pkg/tlsconfig"
 	"github.com/docker/libkv/store"
+	"github.com/docker/libnetwork/cluster"
 	"github.com/docker/libnetwork/datastore"
 	"github.com/docker/libnetwork/netlabel"
 )
@@ -21,15 +22,13 @@ type Config struct {
 
 // DaemonCfg represents libnetwork core configuration
 type DaemonCfg struct {
-	Debug          bool
-	IsAgent        bool
-	DataDir        string
-	DefaultNetwork string
-	DefaultDriver  string
-	Bind           string
-	Neighbors      []string
-	Labels         []string
-	DriverCfg      map[string]interface{}
+	Debug           bool
+	DataDir         string
+	DefaultNetwork  string
+	DefaultDriver   string
+	Labels          []string
+	DriverCfg       map[string]interface{}
+	ClusterProvider cluster.Provider
 }
 
 // ClusterCfg represents cluster configuration
@@ -84,27 +83,6 @@ func ParseConfigOptions(cfgOptions ...Option) *Config {
 // to the controller
 type Option func(c *Config)
 
-// OptionBind function returns an option setter for setting a bind interface or address
-func OptionBind(bind string) Option {
-	return func(c *Config) {
-		c.Daemon.Bind = bind
-	}
-}
-
-// OptionAgent function returns an option setter for setting agent mode
-func OptionAgent() Option {
-	return func(c *Config) {
-		c.Daemon.IsAgent = true
-	}
-}
-
-// OptionNeighbors function returns an option setter for setting a list of neighbors to join.
-func OptionNeighbors(neighbors []string) Option {
-	return func(c *Config) {
-		c.Daemon.Neighbors = neighbors
-	}
-}
-
 // OptionDefaultNetwork function returns an option setter for a default network
 func OptionDefaultNetwork(dn string) Option {
 	return func(c *Config) {
diff --git a/libnetwork/controller.go b/libnetwork/controller.go
index cc98bc7bad..1a514ad4e1 100644
--- a/libnetwork/controller.go
+++ b/libnetwork/controller.go
@@ -54,6 +54,7 @@ import (
 	"github.com/docker/docker/pkg/discovery"
 	"github.com/docker/docker/pkg/plugins"
 	"github.com/docker/docker/pkg/stringid"
+	"github.com/docker/libnetwork/cluster"
 	"github.com/docker/libnetwork/config"
 	"github.com/docker/libnetwork/datastore"
 	"github.com/docker/libnetwork/discoverapi"
@@ -110,6 +111,9 @@ type NetworkController interface {
 
 	// ReloadCondfiguration updates the controller configuration
 	ReloadConfiguration(cfgOptions ...config.Option) error
+
+	// SetClusterProvider sets cluster provider
+	SetClusterProvider(provider cluster.Provider)
 }
 
 // NetworkWalker is a client provided function which will be used to walk the Networks.
@@ -157,14 +161,6 @@ func New(cfgOptions ...config.Option) (NetworkController, error) {
 		serviceBindings: make(map[string]*service),
 	}
 
-	if err := c.agentInit(c.cfg.Daemon.Bind); err != nil {
-		return nil, err
-	}
-
-	if err := c.agentJoin(c.cfg.Daemon.Neighbors); err != nil {
-		return nil, err
-	}
-
 	if err := c.initStores(); err != nil {
 		return nil, err
 	}
@@ -210,6 +206,62 @@ func New(cfgOptions ...config.Option) (NetworkController, error) {
 	return c, nil
 }
 
+func (c *controller) SetClusterProvider(provider cluster.Provider) {
+	c.cfg.Daemon.ClusterProvider = provider
+	go c.clusterAgentInit()
+}
+
+func isValidClusteringIP(addr string) bool {
+	return addr != "" && !net.ParseIP(addr).IsLoopback() && !net.ParseIP(addr).IsUnspecified()
+}
+
+func (c *controller) clusterAgentInit() {
+	clusterProvider := c.cfg.Daemon.ClusterProvider
+	for {
+		select {
+		case <-clusterProvider.ListenClusterEvents():
+			if !c.isDistributedControl() {
+				bindAddr, _, _ := net.SplitHostPort(clusterProvider.GetListenAddress())
+				remote := clusterProvider.GetRemoteAddress()
+				remoteAddr, _, _ := net.SplitHostPort(remote)
+
+				// Determine the BindAddress from RemoteAddress or through best-effort routing
+				if !isValidClusteringIP(bindAddr) {
+					if !isValidClusteringIP(remoteAddr) {
+						remote = "8.8.8.8:53"
+					}
+					conn, err := net.Dial("udp", remote)
+					if err == nil {
+						bindHostPort := conn.LocalAddr().String()
+						bindAddr, _, _ = net.SplitHostPort(bindHostPort)
+						conn.Close()
+					}
+				}
+
+				if bindAddr != "" && c.agent == nil {
+					if err := c.agentInit(bindAddr); err != nil {
+						log.Errorf("Error in agentInit : %v", err)
+					} else {
+						c.drvRegistry.WalkDrivers(func(name string, driver driverapi.Driver, capability driverapi.Capability) bool {
+							if capability.DataScope == datastore.GlobalScope {
+								c.agentDriverNotify(driver)
+							}
+							return false
+						})
+					}
+				}
+				if remoteAddr != "" {
+					if err := c.agentJoin(remoteAddr); err != nil {
+						log.Errorf("Error in agentJoin : %v", err)
+					}
+				}
+			} else {
+				c.agentClose()
+			}
+		}
+	}
+}
+
 func (c *controller) makeDriverConfig(ntype string) map[string]interface{} {
 	if c.cfg == nil {
 		return nil
@@ -249,28 +301,6 @@ func (c *controller) makeDriverConfig(ntype string) map[string]interface{} {
 
 var procReloadConfig = make(chan (bool), 1)
 
-func (c *controller) processAgentConfig(cfg *config.Config) (bool, error) {
-	if c.cfg.Daemon.IsAgent == cfg.Daemon.IsAgent {
-		// Agent configuration not changed
-		return false, nil
-	}
-
-	c.Lock()
-	c.cfg = cfg
-	c.Unlock()
-
-	if err := c.agentInit(c.cfg.Daemon.Bind); err != nil {
-		return false, err
-	}
-
-	if err := c.agentJoin(c.cfg.Daemon.Neighbors); err != nil {
-		c.agentClose()
-		return false, err
-	}
-
-	return true, nil
-}
-
 func (c *controller) ReloadConfiguration(cfgOptions ...config.Option) error {
 	procReloadConfig <- true
 	defer func() { <-procReloadConfig }()
@@ -280,15 +310,6 @@ func (c *controller) ReloadConfiguration(cfgOptions ...config.Option) error {
 	update := false
 	cfg := config.ParseConfigOptions(cfgOptions...)
 
-	isAgentConfig, err := c.processAgentConfig(cfg)
-	if err != nil {
-		return err
-	}
-
-	if isAgentConfig {
-		return nil
-	}
-
 	for s := range c.cfg.Scopes {
 		if _, ok := cfg.Scopes[s]; !ok {
 			return types.ForbiddenErrorf("cannot accept new configuration because it removes an existing datastore client")
@@ -454,6 +475,24 @@ func (c *controller) Config() config.Config {
 	return *c.cfg
 }
 
+func (c *controller) isManager() bool {
+	if c.cfg == nil || c.cfg.Daemon.ClusterProvider == nil {
+		return false
+	}
+	return c.cfg.Daemon.ClusterProvider.IsManager()
+}
+
+func (c *controller) isAgent() bool {
+	if c.cfg == nil || c.cfg.Daemon.ClusterProvider == nil {
+		return false
+	}
+	return c.cfg.Daemon.ClusterProvider.IsAgent()
+}
+
+func (c *controller) isDistributedControl() bool {
+	return !c.isManager() && !c.isAgent()
+}
+
 func (c *controller) RegisterDriver(networkType string, driver driverapi.Driver, capability driverapi.Capability) error {
 	c.Lock()
 	hd := c.discovery
@@ -492,13 +531,27 @@ func (c *controller) NewNetwork(networkType, name string, id string, options ...
 
 	network.processOptions(options...)
 
+	_, cap, err := network.resolveDriver(networkType, true)
+	if err != nil {
+		return nil, err
+	}
+
+	if cap.DataScope == datastore.GlobalScope && !c.isDistributedControl() && !network.dynamic {
+		if c.isManager() {
+			// For non-distributed controlled environment, globalscoped non-dynamic networks are redirected to Manager
+			return nil, ManagerRedirectError(name)
+		}
+
+		return nil, types.ForbiddenErrorf("Cannot create a multi-host network from a worker node. Please create the network from a manager node.")
+	}
+
 	// Make sure we have a driver available for this network type
 	// before we allocate anything.
 	if _, err := network.driver(true); err != nil {
 		return nil, err
 	}
 
-	err := network.ipamAllocate()
+	err = network.ipamAllocate()
 	if err != nil {
 		return nil, err
 	}
diff --git a/libnetwork/endpoint.go b/libnetwork/endpoint.go
index 7646fa6d5d..6d1c7985ba 100644
--- a/libnetwork/endpoint.go
+++ b/libnetwork/endpoint.go
@@ -446,7 +446,7 @@ func (ep *endpoint) sbJoin(sb *sandbox, options ...EndpointOption) error {
 	}()
 
 	// Watch for service records
-	if !n.getController().cfg.Daemon.IsAgent {
+	if !n.getController().isAgent() {
 		n.getController().watchSvcRecord(ep)
 	}
 
@@ -776,7 +776,7 @@ func (ep *endpoint) Delete(force bool) error {
 	}()
 
 	// unwatch for service records
-	if !n.getController().cfg.Daemon.IsAgent {
+	if !n.getController().isAgent() {
 		n.getController().unWatchSvcRecord(ep)
 	}
 
diff --git a/libnetwork/error.go b/libnetwork/error.go
index 12fb6771f6..d1291f1db6 100644
--- a/libnetwork/error.go
+++ b/libnetwork/error.go
@@ -173,3 +173,13 @@ func (id InvalidContainerIDError) Error() string {
 
 // BadRequest denotes the type of this error
 func (id InvalidContainerIDError) BadRequest() {}
+
+// ManagerRedirectError is returned when the request should be redirected to Manager
+type ManagerRedirectError string
+
+func (mr ManagerRedirectError) Error() string {
+	return "Redirect the request to the manager"
+}
+
+// Maskable denotes the type of this error
+func (mr ManagerRedirectError) Maskable() {}
diff --git a/libnetwork/network.go b/libnetwork/network.go
index 90d9ff8920..76524b5dee 100644
--- a/libnetwork/network.go
+++ b/libnetwork/network.go
@@ -64,6 +64,7 @@ type NetworkInfo interface {
 	IPv6Enabled() bool
 	Internal() bool
 	Labels() map[string]string
+	Dynamic() bool
 }
 
 // EndpointWalker is a client provided function which will be used to walk the Endpoints.
@@ -187,6 +188,7 @@ type network struct {
 	inDelete     bool
 	ingress      bool
 	driverTables []string
+	dynamic      bool
 	sync.Mutex
 }
 
@@ -631,6 +633,13 @@ func NetworkOptionLabels(labels map[string]string) NetworkOption {
 	}
 }
 
+// NetworkOptionDynamic function returns an option setter for dynamic option for a network
+func NetworkOptionDynamic() NetworkOption {
+	return func(n *network) {
+		n.dynamic = true
+	}
+}
+
 // NetworkOptionDeferIPv6Alloc instructs the network to defer the IPV6 address allocation until after the endpoint has been created
 // It is being provided to support the specific docker daemon flags where user can deterministically assign an IPv6 address
 // to a container as combination of fixed-cidr-v6 + mac-address
@@ -697,7 +706,7 @@ func (n *network) driver(load bool) (driverapi.Driver, error) {
 	if cap != nil {
 		n.scope = cap.DataScope
 	}
-	if c.cfg.Daemon.IsAgent {
+	if c.isAgent() {
 		// If we are running in agent mode then all networks
 		// in libnetwork are local scope regardless of the
 		// backing driver.
@@ -1455,6 +1464,13 @@ func (n *network) Internal() bool {
 	return n.internal
 }
 
+func (n *network) Dynamic() bool {
+	n.Lock()
+	defer n.Unlock()
+
+	return n.dynamic
+}
+
 func (n *network) IPv6Enabled() bool {
 	n.Lock()
 	defer n.Unlock()
diff --git a/libnetwork/test/integration/dnet/helpers.bash b/libnetwork/test/integration/dnet/helpers.bash
index de69eb325d..8424cae7e2 100644
--- a/libnetwork/test/integration/dnet/helpers.bash
+++ b/libnetwork/test/integration/dnet/helpers.bash
@@ -161,7 +161,7 @@ function start_dnet() {
 	read discovery provider address < <(parse_discovery_str consul://${bridge_ip}:8500/custom_prefix)
     else
 	if [ "$nip" != "" ]; then
-	    neighbors="neighbors = [\"${nip}:7946\"]"
+	    neighbors=${nip}
 	fi
 
 	discovery=""
@@ -190,9 +190,10 @@ title = "LibNetwork Configuration file for ${name}"
 
 [daemon]
   debug = false
-  isagent = true
+[orchestration]
+  agent = true
   bind = "eth0"
-  ${neighbors}
+  peer = "${neighbors}"
 EOF
     fi
 
diff --git a/libnetwork/test/integration/dnet/run-integration-tests.sh b/libnetwork/test/integration/dnet/run-integration-tests.sh
index e8efcce26e..43f9386d68 100755
--- a/libnetwork/test/integration/dnet/run-integration-tests.sh
+++ b/libnetwork/test/integration/dnet/run-integration-tests.sh
@@ -242,9 +242,9 @@ if [ -z "$SUITES" ]; then
     then
 	# We can only run a limited list of suites in circleci because of the
 	# old kernel and limited docker environment.
-	suites="dnet simple_consul multi_consul multi_zk multi_etcd"
+	suites="dnet multi_consul multi_zk multi_etcd"
     else
-	suites="dnet simple_consul multi_consul multi_zk multi_etcd  bridge overlay_consul overlay_consul_host overlay_zk overlay_etcd"
+	suites="dnet multi_consul multi_zk multi_etcd  bridge overlay_consul overlay_consul_host overlay_zk overlay_etcd"
     fi
 else
     suites="$SUITES"