A subcontractor agreement is an agreement between a company (usually referred to as the “contractor”) and a service entity (usually referred to as the “subcontractor”). The subcontractor agrees to provide a service to the contractor for a fee. The subcontractor may agree to provide a one-off service for a set fee or ongoing services to the contractor for a predetermined length of time for a fee.
As a member, you can request unlimited legal documents to be drafted or reviewed for your business,
including this Subcontractor Agreement. Our membership also provides unlimited legal advice
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The LegalVision
Subcontractor Agreementtemplate sets out:
the terms of the subcontractor relationship;
the rights, responsibilities and obligations of the
subcontractor and contractor; and
business processes such as payment, fees and invoicing.
This subcontractor agreement template is drafted to protect the
interests of the contractor and is intended to set out a
description of the services and the commercial terms (e.g. price
and payment method) at which the subcontractor will be engaged. It
is recommended that the subcontractor’s agreement is entered prior
to the engagement. This subcontractors agreement also includes the
purchase of goods from the subcontractor that may be ancillary to
the provision of the services.
The document is 8 pages long and contains 11 sections and 1
schedule.
If your subcontractor relationship is more complex, then it’s
important that you have a lawyer assist you to draft the
following clauses:
an unpaid invoices collection clause;
a confidentiality clause;
the ability for the subcontractor to be paid on
commission;
a subcontracting clause allowing the contractor to restrict the
ability of the subcontractor to subcontract the services;
a sophisticated dispute resolution clause;
a sophisticated workplace health and safety clause;
a non-compete clause;
a provision to protect your intellectual property and to allow
the subcontractor to use it if required; and
additional provisions in related to the rights,
responsibilities and obligations of the subcontractor and
contractor, particularly if an agreement has been reached on
particular issues.
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