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Subcontractor Agreement for New Zealand

Subcontractor Agreement Template for New Zealand

A comprehensive legal agreement governed by New Zealand law that establishes and regulates the relationship between a main contractor and a subcontractor. This document outlines the terms and conditions under which the subcontractor will provide specific services or work, including scope of work, payment terms, performance standards, and compliance requirements with New Zealand legislation such as the Health and Safety at Work Act 2015 and the Contract and Commercial Law Act 2017. The agreement includes provisions for liability, insurance, dispute resolution, and confidentiality while ensuring compliance with local tax and regulatory requirements.

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What is a Subcontractor Agreement?

The Subcontractor Agreement is essential for businesses operating in New Zealand that need to engage external contractors for specific projects or ongoing services. This document is particularly crucial as it helps distinguish the contractor relationship from employment relationships under New Zealand law, while ensuring compliance with relevant legislation including the Contract and Commercial Law Act 2017, Health and Safety at Work Act 2015, and tax regulations. The agreement typically covers critical aspects such as scope of work, payment terms, liability, insurance requirements, and dispute resolution procedures. It's commonly used across various industries where specialized services or additional workforce capacity is required, and can be customized to accommodate specific project requirements while maintaining compliance with New Zealand legal frameworks.

What sections should be included in a Subcontractor Agreement?

1. Parties: Identifies the main contractor and subcontractor, including full legal names, company details, and registered addresses

2. Background: Explains the context of the agreement, including the main contractor's business, the need for subcontracted services, and any relevant project context

3. Definitions: Defines key terms used throughout the agreement for clarity and legal certainty

4. Appointment and Scope of Services: Details the appointment of the subcontractor and comprehensively describes the services to be provided

5. Term and Termination: Specifies the duration of the agreement and circumstances under which either party may terminate

6. Payment Terms: Outlines fees, payment schedule, invoicing requirements, and GST considerations

7. Subcontractor Obligations: Lists key responsibilities and requirements for the subcontractor, including quality standards and timeframes

8. Main Contractor Obligations: Specifies what the main contractor will provide or do to enable the subcontractor to perform their services

9. Health and Safety: Details health and safety requirements and responsibilities in accordance with NZ legislation

10. Insurance and Liability: Specifies required insurance coverage and liability limitations

11. Confidentiality: Defines confidential information and obligations regarding its protection

12. Intellectual Property: Addresses ownership and usage rights of any IP created during the service provision

13. Dispute Resolution: Sets out the process for resolving disputes between parties

14. General Provisions: Contains standard boilerplate clauses including governing law, notices, and assignment

What sections are optional to include in a Subcontractor Agreement?

1. Equipment and Materials: Used when specific equipment or materials are provided by either party

2. Performance Metrics: Include when specific KPIs or performance standards need to be met

3. Non-Compete: Added when restrictions on working with competitors are required

4. Work Location: Important when specific requirements about work location exist

5. Security Requirements: Necessary when the work involves access to sensitive systems or locations

6. Data Protection: Required when the services involve handling personal or sensitive data

7. Force Majeure: Added when specific provisions for unforeseen circumstances are needed

8. Delegation and Subcontracting: Include when there's a need to address whether the subcontractor can further subcontract work

What schedules should be included in a Subcontractor Agreement?

1. Schedule 1: Services Description: Detailed specification of services to be provided

2. Schedule 2: Fee Schedule: Detailed breakdown of fees, rates, and payment terms

3. Schedule 3: Performance Standards: Specific quality standards, KPIs, and delivery requirements

4. Schedule 4: Insurance Requirements: Detailed insurance requirements and minimum coverage levels

5. Schedule 5: Health and Safety Procedures: Specific health and safety requirements and procedures

6. Appendix A: Required Forms: Standard forms for invoicing, reporting, or other administrative requirements

7. Appendix B: Project Timeline: Detailed project milestones and deadlines if applicable

8. Appendix C: Contact Details: Key contact persons and their details for both parties

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

New Zealand

Publisher

Ƶ

Document Type

Agreement Contract

Cost

Free to use
Relevant legal definitions






























Clauses



































Relevant Industries

Construction

Information Technology

Professional Services

Manufacturing

Engineering

Consulting

Healthcare

Mining

Agriculture

Transportation

Energy

Telecommunications

Relevant Teams

Legal

Procurement

Operations

Finance

Human Resources

Risk and Compliance

Project Management Office

Commercial

Contract Administration

Business Development

Relevant Roles

Project Manager

Procurement Manager

Contract Administrator

Legal Counsel

Operations Manager

Site Manager

Commercial Manager

Risk Manager

Human Resources Manager

Finance Manager

Construction Manager

General Manager

Business Development Manager

Compliance Officer

Industries









Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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