What is an Independent Contractor Agreement Form or Contract.
This is an agreement for work between either a corporation, LLC, partnership or a company/owner and a contractor. It outlines the work to be done by the contractor, scheduled completion time, negotiated contract price, terms and payment schedule and other pertinent health and safety terms and conditions. It is universally versatile and can be used by individuals and corporations. It is needed because In the construction industry there are numerous jobs and skills needed by America to perform what looks to ordinary people as impossible tasks; so what do these special people do?. Construction embodies the following: house, factory and office building work, carrying-out building repairs, modifying buildings; often by adding an extension, demolition of real estate; making way for new building projects. Reconstructing heritage buildings or buildings that have been destroyed and are covered with adequate insurance to rebuild the same property design. Sometimes houses or commercial building are moved, excavated, demolished and this includes other infrastructures such as civil engineered bridges and roads and dams. They all need building qualified and experienced specialists such as architects, electrical engineers, water engineers, structural engineers, scaffolders and project managers who do the detailed design and planning. And these people have to have licenses and permits to work and also independent contractor agreements for there protection if disputes arise.
What the Independent Contractors Licensing Act Does
(a) Protects the public against bad practices and exploitation by construction workers and businesses.
(b) Requires an audit of a contractors professional competencies to maintain requisite standards.
(c) Filters out the delinquent contractors by creating a pool of competent and reliable contractors.
Therefore using licensed building or construction workers is an important step towards ensuring that money and time is not wasted and that high standards of health and safety issues are more likely to be achieved.
For violating the provisions of a statute by not completing a project or failure of the contractor to stay within project budget the state can revoke a contractors license. The contract follows many of the same rules as any other contract that is best summarized as its legality in form, fit, function, offer and acceptance and sufficiency of consideration.
Construction and General Building Contractors
The construction and general building industry has had a checkered history where health and safety regulations have been violated making one of the most accident prone industries. And where sub-standard work has been done which has cut corners to make a larger profits that has compromised the quality and safety at the customers and contractors expense. This industry is now regulated by state legislatures through the Contractors Licensing Act. This means that the state can take responsibility and control by issuing building permits to people who are properly qualified and experienced who become licensed general contractors.
Independent Contractors Licensing Act
(a) Protects the public against bad practices and exploitation by construction workers and businesses.
(b) Requires an audit of a contractors professional competencies to maintain requiste standards.
(c) Filters out the delinquent contractors by creating a pool of competent and reliable contractors.
Therefore using licensed building or construction workers is an important step towards ensuring that money and time is not wasted and that high standards of health and safety issues are more likely to be achieved. For violating the provisions of a statute by not completing a project or failure of the contractor to stay within project budget the state can revoke a contractors license. The contract follows many of the same rules as any other contract that is best summarized as its legality in form, fit, function, offer and acceptance and sufficiency of consideration.
What the Contractor Contract should include.
The scope of this type of contract should provide details such as a detailed schedule about the construction project that includes penalty clauses for abandonment and running over-schedule and linked to the project plan will be the duties, responsibilities and liabilities of the contractor, architect, civil engineer and the hiring company. It may also stipulate provisions for public liability insurance, employee compensation and fire insurance including including provisions for the amount of potential compensation and the method of payment. It also sets the agreed negotiated price and method of payment.
The building and construction contract should also include the following references: plans, detailed drawings and specifications with an associated description about the project and the roles that each party involved has; making lines of communication transparent and easy to understand. The key document that ties this together within the contract is a well designed arrow-on-arrow schedule and a PERT chart which will show the over-all flow and integration of the workforce.
The interests of an independent contractor is best addressed by having the details of their agreement embodied within a well written contract so that if a dispute arises about payment or the terms of engagement then the contractual agreement can provide valuable leverage and a favorable out-come. |