An independent contractor is a person or business who performs services for another person pursuant to an agreement and who is not subject to the other's control, or right to control, the manner and means of performing the services. The exact nature of the independent contractor's relationship with the hiring party is important since an independent contractor pays his/her own Social Security, income taxes without payroll deduction, has no retirement or health plan rights, and often is not entitled to worker's compensation coverage. The traditional tests to determine whether a worker is an employee or independent contractor involve the concept of control. The Internal Revenue Service (IRS) developed 20 factors used to determine whether a worker is an independent contractor under the common law. A "yes" answer to any of these questions would be evidence of an employer-employee relationship.
" Does the principal provide instructions to the worker about when, where, and how he or she is to perform the work?
" Does the principal provide training to the worker?
" Are the services provided by the worker integrated into the principal's business operations?
" Must the services be rendered personally by the worker?
" Does the principal hire, supervise and pay assistants to the worker?
" Is there a continuing relationship between the principal and the worker?
" Does the principal set the work hours and schedule?
" Does the worker devote substantially full time to the business of the principal?
" Is the work performed on the principal's premises?
" Is the worker required to perform the services in an order or sequence set by the principal?
" Is the worker required to submit oral or written reports to the principal?
" Is the worker paid by the hour, week, or month?
" Does the principal have the right to discharge the worker at will?
" Can the worker terminate his or her relationship with the principal any time he or she wishes without incurring liability to the principal?
" Does the principal pay the business or traveling expenses of the worker?
A "yes" answer to any of these questions would be evidence of an independent contractor relationship.
" Does the worker furnish significant tools, materials and equipment?
" Does the worker have a significant investment in facilities?
" Can the worker realize a profit or loss as a result of his or her services?
" Does the worker provide services for more than one firm at a time?
" Does the worker make his or her services available to the general public?
An Alabama Independent Contractor Agreement Between Licensed Counselor and Therapist and Licensed Counselor and Therapist Practicing as a Solo Practitioner typically refers to a legal document that outlines the terms and conditions under which a licensed counselor and therapist can work together in an independent contractor relationship. This agreement is particularly crucial when the therapist is operating their practice as a solo practitioner. When drafting an Alabama Independent Contractor Agreement Between Licensed Counselor and Therapist and Licensed Counselor and Therapist Practicing as a Solo Practitioner, it is essential to include specific keywords and outline the terms and conditions unique to Alabama law. Here are some essential elements and relevant keywords that should be included in such an agreement: 1. Identification of Parties: Begin the agreement by clearly stating the names, addresses, and contact information of both parties involved — the licensed counselor and therapist practicing as a solo practitioner ("Contractor") and the licensed counselor and therapist seeking to engage the Contractor's services ("Client"). 2. Scope of Services: Specify the services that the Contractor will provide to the Client, including counseling, therapy, or related services. Outline any specializations or limitations within the Contractor's practice. 3. Independent Contractor Relationship: Clearly state that the Contractor is an independent contractor and not an employee of the Client. Include language reinforcing the control and autonomy the Contractor has over their practice and the manner in which services are provided. 4. Term and Termination: Define the length of the agreement and outline the circumstances under which either party can terminate the agreement, including notice periods and any associated penalties. 5. Compensation and Expenses: Describe how the Contractor will be compensated for their services. Include details about the payment structure, such as hourly rates, session-based fees, or a percentage of revenue. Clarify the responsibility for expenses such as office space, utilities, and supplies. 6. Confidentiality and Privacy: Emphasize privacy and confidentiality obligations for both parties, aligning with Alabama laws and ethical guidelines. Address the handling of client records and any required reporting. 7. Liability and Indemnification: Allocate the responsibility for professional liability insurance, specifying any coverage requirements for the Contractor. Include indemnification clauses to protect both parties against any claims or damages arising from the services provided. 8. Non-Compete and Non-Solicitation: Restrict the Contractor from directly competing with the Client's practice or soliciting clients for their own gain within a specific geographic area or timeframe. 9. Governing Law: State that the agreement is governed by the laws of the state of Alabama and any specific counties or jurisdictions within the state. 10. Entire Agreement and Amendments: Include language stating that the agreement constitutes the entire agreement between the parties and that any modifications must be in writing and signed by both parties. It's important to note that there may be different variations or specific types of Alabama Independent Contractor Agreements unique to licensed counselors and therapists practicing as solo practitioners, such as agreements tailored for different specialties (e.g., marriage and family therapists, addiction counselors), specific therapy techniques (e.g., cognitive-behavioral therapy), or agreements for group practices. Seeking legal advice or consulting with an attorney who specializes in mental health law in Alabama is highly recommended ensuring compliance with local and state regulations and to tailor the agreement to the unique circumstances of the licensed counselor and therapist's practice.
