Independent contractor agreement. Download free template & sample.
Free doc (Word) and pdf independent contractor agreement template suitable for any industry and essential when hiring new employees for your business.
An Independent Contractor Agreement is a written contract that outlines the terms of the working arrangement between a contractor and client, including - a description of the services provided, terms and length of the project or service, payment details, confidentiality, non-solicitation, and dispute resolution clauses.
Also known as a Subcontractor Agreement, Consulting Agreement, Freelance Contract, General Contractor Agreement, Consulting Services Agreement and Contract Work Agreement.
What is an independent contractor agreement?
An independent contractor agreement is a legally binding document between a business or individual on the one hand (the client or employer) and an individual contractor on the other. Businesses typically hire independent contractors on a case-by-case basis where hiring full-time employees may not make sense.
Our free independent contractor agreement template gives you all the elements you need to cover all of your grounds, whether you're the client or the contractor who should perform the services needed.
What should an independent contractor agreement include?
The agreement between the contractor and the client has some elements that should typically be included in case either party has issues (e.g. client does not want to pay the contractor) or just to make sure all the work is delivered properly.
The entire agreement should cover the following elements:
- The scope of work - the list of things the contractor shall perform, detailing services, tasks and specific deliverables
- The payment terms - the payment obligations under this agreement, detailing when the contractor gets paid once they provide services and how
- Timeline - a written agreement on when the work will be started and delivered
- Confidentiality - the services under this agreement can have confidential items that the contractor agrees not to share. Otherwise, the contractor may face legal consequences according to laws of the state where the contractor performs services or where the agreement was signed
- Intellectual property - the agreement may include a term on who owns the intellectual property once the contractor work is completed
- Termination clause - when you hire a contractor as an independent contractor, this clause is included to determine when and how the agreement is terminated and for which reasons
- Indemnification - where the contractor agrees to indemnify the client in cases of claims or losses
When can you use an independent contractor agreement?
Whenever you're hiring a contractor to perform a one-off or retainer type of service. It should not be used when you want to hire a full-time or part-time employee.