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Which document shall I use?
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Are you in a business where you can reasonably describe yourself as a consultant? If not, choose the “self employment agreement”
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Are you truly an employee?
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If you are a consultant, do you work directly or through a company? Choose accordingly.
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If you are in IT or Internet or other high tech business, choose the IIT consultant contract. Otherwise choose the general one.
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Do you take your business direct from the Internet? If yes, choose “terms and conditions”.
Who will use this document:
Key features:
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the consultant contracts 201, 202 and 203 are “over-arching” agreements designed for ongoing use to cover a series of assignments
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may also be used for single assignment
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consultant to work from home or office
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very flexible to suit the requirements of either or both parties
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provides a complete framework
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protects both sides
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establishes as far as possible a self employed status and reduces the chances for employer obligations to arise
Why use this document:
This document can be presented to your new clients as “my contract”. For any business using self employed people it provides the essential starting point for the relationship.
Note however, that although the agreement clothes the transaction with all the characteristics of self employment, simply using one of these contracts will not necessarily avoid the relationship of employer and employed. Both the Inland Revenue and any industrial tribunal will be entitled to look behind the agreement at the reality of the contract. Some of the questions they might ask are:
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is this the contractors only work or does he work for others too?
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does the client control how the work is done?
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are the hours fixed by the client or can the contractor choose when he works?
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does the contractor work on the clients premises, using the client’s equipment?
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to what extent is the contractor at risk as a self employed person?
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is self employment normal for this kind of work?
IE-COM201, 202 and 203 include the following provisions; IE-COM221 and IE-ECM181 are shorter:
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consultant’s obligations
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consultant’s status
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consultant’s fees and expenses
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duration and termination
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matters after termination
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consultant’s other work
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data protection
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insurance
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confidentiality
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intellectual property
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appropriate legal provisions - warranties, exclusions, indemnities, etc.
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