Fixed Term Subcontractor Agreement

This Fixed Term Sub-Contractor Agreement is designed for use by a main contractor wishing to take on independent trades-people working for a fixed term on a self-employed basis, for example where only a single task is required, or where the main contractor itself is operating on a time limit.

This document includes a data protection clause but if the Sub-Contractor will be carrying out any data processing for the main contractor, you might wish to add our standard data processing clause in our UK GDPR & Data Protection Group which you can find here.

In this template, the appointment of the sub-contractor is non-exclusive. The work order is at his discretion. He is free to engage the services of others at his own expense. Faulty work must be put right at his expense. Equipment must be provided by him. Payment is to be made on completion of work.

The drafting of this agreement aims to reduce the risk that the individual sub-contractor might be deemed a de-facto employee of the main contractor rather than a sole trader working on a self-employed basis as a sub-contractor, but whether in law he is self-employed rather than an employee will depend on all of the circumstances (not just on the terms of this sub-contract agreement).

If the individual subcontractor is deemed to be an employee, he will be subject to different levels of tax and National Insurance Contributions. Furthermore, the payment of income tax and National Insurance will be the responsibility of the main contractor that hired the sub-contractor.

Further guidance on tax and employment status of individuals who act as sub-contractors can be found in the Business Information pages relating to self-employment and IR35 but we nevertheless recommend that you take professional legal and tax advice before using this form of document.

This form of agreement is written from the perspective of a company as the main contractor. The contractor does not have to be a company and any references to this can be changed without altering the meaning or purpose of the document.

This Fixed Term Sub-Contractor Agreement contains the following clauses:

1. Engagement of the Sub-Contractor

2. Indemnity and Liability

3. Provision of Equipment and Protective Clothing

4. Status of the Sub-Contractor

5. Consideration

6. Non-Competition and Non-Solicitation

7. Termination

8. Data Protection

9. Confidentiality

10. Force Majeure

11. Definitions

12. Miscellaneous

13. Governing Law and Jurisdiction

[and Schedule  - Privacy Notice]

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Fixed Term Subcontractor Agreement is part of Employment Documents. Just £35.00 + VAT provides unlimited downloads from Employment Documents for 1 year.