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The 26-year-old midfielder is boss Ian McParland's third summer signing, following Michael Johnson and Jamie Forrester into Meadow Lane.
Nowland was a free-agent after being released by Championship outfit Preston North End in January.
And he said: "I am over the moon to be here and can't wait to get going now.
"I left Preston in January and had a couple of opportunities but they weren't right for me.
"I have had a little break from the game. I am really pleased to be back, especially with someone I know like Charlie (McParland)."
Nowland knows Magpies' boss Ian McParland from his days at Nottingham Forest, between November 2004 and August 2005.
He began his career as a trainee at Blackpool, before enjoying spells at Wimbledon, West Ham.
He joined Preston on a free transfer in 2005, but suffered a broken leg that kept him out for a year.
Last season, he spent spells on loan at Gillingham and Stockport.