The Short Form Independent Contractor Agreement is designed for businesses operating in Australia who need a streamlined yet legally robust document for engaging contractors. This agreement is particularly suitable for straightforward contractor relationships where the scope of work is well-defined and the engagement terms are relatively standard. It includes all essential elements required under Australian law while avoiding the complexity of a full-length agreement. The document ensures compliance with relevant legislation including the Independent Contractors Act 2006, Fair Work Act 2009, and other applicable federal and state laws, while providing adequate protection for both parties. It's specifically structured to help avoid issues of sham contracting and clearly establishes the nature of the independent contractor relationship.
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1. Parties: Identification of the contracting parties - the principal/company and the contractor
2. Background: Brief context of the agreement and the intention to engage the contractor
3. Definitions: Key terms used throughout the agreement
4. Engagement and Term: Specification of the engagement as an independent contractor and the duration of the agreement
5. Services: Description of the services to be provided by the contractor
6. Fees and Payment: Payment terms, rates, and invoicing requirements
7. Contractor Obligations: Key responsibilities and standards expected from the contractor
8. Principal Obligations: Key responsibilities of the principal/company
9. Independent Contractor Relationship: Clear statement of independence and not being an employee
10. Insurance and Liability: Required insurance coverage and liability provisions
11. Confidentiality: Protection of confidential information
12. Termination: Circumstances and process for ending the agreement
13. General Provisions: Standard boilerplate clauses including governing law, notices, and entire agreement
1. Intellectual Property: Include when the contractor will create or work with intellectual property
2. Non-Compete: Include when restricting the contractor from competing activities is necessary
3. Non-Solicitation: Include when protecting against solicitation of clients or employees is important
4. Equipment and Resources: Include when specifying who provides tools, equipment, or resources
5. Performance Metrics: Include when specific performance standards or KPIs need to be met
6. Substitute and Sub-contracting: Include when addressing whether the contractor can provide substitutes or sub-contract
7. Data Protection: Include when personal data processing is involved
8. Work Health and Safety: Include when there are specific WHS requirements or risks
9. Dispute Resolution: Include when specific dispute resolution procedures are required
1. Schedule 1 - Services: Detailed description of services to be provided
2. Schedule 2 - Fees and Payment Terms: Detailed breakdown of fees, rates, and payment arrangements
3. Schedule 3 - Insurance Requirements: Specific insurance types and coverage amounts required
4. Appendix A - Service Levels: Optional appendix detailing specific service levels or KPIs if applicable
5. Appendix B - Policies and Procedures: Optional appendix listing applicable company policies the contractor must comply with
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