Independent Contractor Agreement Template

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Independent Contractor Agreement Page 1
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Updated Apr 29, 2024
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An independent contractor agreement is a legally binding agreement between an independent contractor and another company or individual. Both parties should use an independent contractor agreement to fill out their tax forms accordingly. Fill out this legal document sample, download it, and sign it to make your life much easier without huge expenses.
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Paper titled "Independent Contractor Agreement"; men discussing a building matter near the house

What Is an Independent Contractor Agreement?

An independent contractor agreement is a legal paper that defines the details of a project or service that a freelancer or independent contractor will perform for a client. The independent contractor agreement template helps to set clear expectations, outline payment schedules, and detail the scope of work, thereby reducing the likelihood of misunderstandings or disputes.

When Is an Independent Contractor Agreement Useful?

  • Project to Project: When you hire someone to work on a specific project or as a temp.

  • Freelance Work: When you hire someone to do something on an independent contractor basis rather than as an employee.

Note:

If it’s more of a full time job with a manager then use an employment agreement instead of a free independent contractor contract.

Sample Independent Contractor Agreement

Here's an overview of what a typical independent contractor agreement sample includes:

  • Parties involved: Identification of the company and contractor.
  • Scope of work: Outline of the services performed.
  • Compensation: Payment details and schedule.
  • Term and termination: Length of contract and termination circumstances.
  • Confidentiality: Terms regarding sensitive information.
  • Intellectual property rights: Ownership rules for completed work.
  • Indemnification: Protection conditions for the hiring party.
  • Dispute resolution: This part resolves any conflicts.
  • Applicable law: Governing state laws and jurisdiction.
  • Independent contractor statement: Highlighting the contractor's independent status.
  • Insurance: This shows what kind of insurance the contractor needs to have.
  • Entire agreement: Assertion that this is the complete agreement.
  • Signatures: Affirmation by both parties' signatures.
man and woman shaking hands on and a working freelancer

About Independent Contractor Agreements

Independent contractor contracts are super important for laying out who does what and keeping everyone's interests safe. Having all the right written agreement makes everything clear and professional.

To make the process easier, a free independent contractor agreement can be effective. You can change these pre-made templates to fit what you need. This way, you know you're following the law and can be stress-free while the contract lasts.

How To Write an Independent Contractor Agreement

Recipient of services

  • Full name of the company.
  • Name of the representative authorized to sign the agreement.

Contractor

  • Full name and address of the independent contractor providing the services.

Description of services

  • Detailed description: A thorough explanation of the services to be provided.
  • Attachments: For lengthy descriptions, consider attaching a separate document to the independent contract agreement.

Payment for services

  • Payment terms: Whether it’s a lump sum, hourly rate, or milestone payments.
  • Due dates: When payments should be made.

Term / Termination

  • Effective date: When the independent contractor agreement form starts and ends.
  • End-of-contract terms: These are the circumstances that can lead to the termination of the legal document.

Relationship of parties

  • Clarifies that independent contractor contracts free of charge underscore and validate the fact that the contractor is an independent entity, not an employee of the company.

Recipient’s control

  • Professional capacity: Ensures that the contractor carries out work in a professional manner.
  • Personal services not required: Confirms that personal services from an individual are not required unless specified.
  • No location on premises: States that work does not need to be performed on the company’s premises.
  • No set work hours: Indicates flexibility in work hours.

Expenses paid by contractor

  • Specifies that any expenses incurred by the contractor are their responsibility unless otherwise agreed upon. A free independent contractor agreement template can act as a useful starting point for drafting such terms.

Ownership of social media contacts

  • Clarifies who owns social media contacts and accounts created during the project.

Independent contractor confidentiality

  • Confidentiality obligations: This means the contractor is solely responsible for keeping the client's private information safe. This clause can be effectively formulated using an independent contractor agreement template free as a handy reference or example.

Liability insurance and protection

  • Insurance coverage: This tells you what you need to have for liability insurance.
  • Indemnity provisions: Details protections for both parties in case of a breach or claim.

Definitions of independent contractor terms

  • Including a glossary for independent contractor contract templates can help clarify technical terms and ensure mutual understanding.

Tips for Finding and Working with Freelancers

  • Evaluating freelancers: Use platforms to check reviews, project completions, and portfolios.

  • Working with freelancers: Clearly communicate expectations, set milestones, and enforce independent contractor agreements.

  • Leveraging the freelance network: Network with freelancers and provide feedback to build strong relationships.

Independent Contractor Agreement Checklist

1. Make this document

  • Customize your agreement by answering simple questions.
  • Save and continue later if needed.
  • Get started now!

2. Review your agreement

  • Look over your customized independent contractor agreement to ensure it matches your intentions.
  • Consider reviewing with other parties to avoid signing delays.

3. Sign this document

  • Must be signed by all providers and recipients or their representatives.
  • The agreement can be signed electronically using Lawrina Sign.
  • The contract is effective from the date specified within it.

4. Distribute copies

  • Ensure everyone named in the document receives a copy.
  • Copies signed online will be securely stored in your account.

Important details

Use independent contractor contracts only for independent contractor relationships. If the arrangement resembles an employment relationship, consider using an employment agreement.

By following these rules, both parties will have a fair contract for an independent contractor that meets legal requirements and is good for the working relationship.

Also Read

Frequently Asked Questions

Can I write my own independent contractor agreement?

You can use or purchase an independent contractor agreement template to write your own contract, whether you are a business looking for services or a freelancer looking for work. You can also write one from scratch or hire an attorney to help you do so. 

 

When drafting the independent contractor agreement, think about what the fundamental parts of the arrangement are. For example, what is the price, preferred manner of payment, scope of work, or other details? Be sure to read everything over carefully before signing. 

 

What should we include in an independent contractor agreement?

What you should include in an independent contractor agreement depends on your situation. Many parties choose to have key terms like the price, type of work, manner of payment, duration of the project, non-disclosure provisions, and other clauses. In many cases, it is best to be comprehensive. An experienced attorney can help you determine what is best in your specific circumstances.