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.
There are a number of factors which to consider in making the decision whether people are employees or independent contractors. One of the most important considerations is the degree of control exercised by the company over the work of the workers. An employer has the right to control an employee. It is important to determine whether the company had the right to direct and control the workers not only as to the results desired, but also as to the details, manner and means by which the results were accomplished. If the company had the right to supervise and control such details of the work performed, and the manner and means by which the results were to be accomplished, an employer-employee relationship would be indicated. On the other hand, the absence of supervision and control by the company would support a finding that the workers were independent contractors and not employees.
Another factor to be considered is the connection and regularity of business between the independent contractor and the hiring party. Important factors to be considered are separate advertising, procurement of licensing, maintenance of a place of business, and supplying of tools and equipment by the independent contractor. If the service rendered is to be completed by a certain time, as opposed to an indefinite time period, a finding of an independent contractor status is more likely.
Restrictions to prevent competition by a present or former employee are held valid when they are reasonable and necessary to protect the interests of the employer. For example, a provision in an employment contract which prohibited an employee for two years from calling on any customer of the employer called on by the employee during the last six months of employment would generally be valid. Courts will closely examine covenants not to compete signed by individuals in order to make sure that they are not unreasonable as to time or geographical area.
A Georgia Self-Employed Independent Contractor Agreement with Sales Representative is a legally binding contract that outlines the rights and responsibilities of a self-employed individual working as a sales representative in the state of Georgia. This agreement establishes the terms and conditions under which the independent contractor will provide their sales services and the compensation they will receive in return. Key terms and clauses covered in the agreement may include: 1. Parties involved: The agreement identifies the parties entering into the contract, including the independent contractor (sales representative) and the company they will be representing. It is crucial to clearly state the legal names and addresses of both parties. 2. Scope of work: The agreement should outline the specific duties and responsibilities of the sales representative. It may include requirements such as attending sales meetings, prospecting clients, closing sales, providing reports, and maintaining customer relationships. This section should also mention the territory or region the sales representative is authorized to operate in. 3. Terms of engagement: The duration of the agreement should be mentioned, specifying whether it is for a fixed term or open-ended. Additionally, it could include provisions for termination, including the conditions under which either party can terminate the agreement, notice periods, and any penalties or obligations upon termination. 4. Payment and commission structure: The agreement should clearly state the compensation terms for the sales representative's services. This may include the commission structure, bonus or incentive plans, terms of payment (e.g., monthly, quarterly), and any other agreed-upon expenses or reimbursements. 5. Confidentiality and non-disclosure: To protect the company's proprietary information and trade secrets, this clause ensures that the sales representative maintains confidentiality regarding any sensitive information they come across during their engagement. It may also impose restrictions on sharing such information with third parties. 6. Intellectual property rights: If the sales representative is involved in creating or enhancing intellectual property, this clause should address ownership rights and specify whether the representative retains any rights or if all intellectual property belongs to the company. 7. Non-competition and non-solicitation: To safeguard the company's interests, this clause may restrict the sales representative from engaging in similar sales activities or soliciting clients for a specific duration after the agreement termination. Different types of Georgia Self-Employed Independent Contractor Agreements with Sales Representatives may include industry-specific versions, such as: 1. Real estate sales representative agreement: Tailored for individuals representing real estate agencies, outlining their duties related to property listings, client showings, negotiations, and commission structures. 2. Pharmaceutical sales representative agreement: Created to meet the needs of pharmaceutical companies engaging sales representatives to promote and sell their products to healthcare professionals. 3. Technology sales representative agreement: Designed for independent contractors promoting and selling technology products or services, including software, hardware, or specialized technical solutions. It is important to note that the content of the agreement should be carefully reviewed by legal professionals to ensure compliance with Georgia's laws and specific industry regulations.A Georgia Self-Employed Independent Contractor Agreement with Sales Representative is a legally binding contract that outlines the rights and responsibilities of a self-employed individual working as a sales representative in the state of Georgia. This agreement establishes the terms and conditions under which the independent contractor will provide their sales services and the compensation they will receive in return. Key terms and clauses covered in the agreement may include: 1. Parties involved: The agreement identifies the parties entering into the contract, including the independent contractor (sales representative) and the company they will be representing. It is crucial to clearly state the legal names and addresses of both parties. 2. Scope of work: The agreement should outline the specific duties and responsibilities of the sales representative. It may include requirements such as attending sales meetings, prospecting clients, closing sales, providing reports, and maintaining customer relationships. This section should also mention the territory or region the sales representative is authorized to operate in. 3. Terms of engagement: The duration of the agreement should be mentioned, specifying whether it is for a fixed term or open-ended. Additionally, it could include provisions for termination, including the conditions under which either party can terminate the agreement, notice periods, and any penalties or obligations upon termination. 4. Payment and commission structure: The agreement should clearly state the compensation terms for the sales representative's services. This may include the commission structure, bonus or incentive plans, terms of payment (e.g., monthly, quarterly), and any other agreed-upon expenses or reimbursements. 5. Confidentiality and non-disclosure: To protect the company's proprietary information and trade secrets, this clause ensures that the sales representative maintains confidentiality regarding any sensitive information they come across during their engagement. It may also impose restrictions on sharing such information with third parties. 6. Intellectual property rights: If the sales representative is involved in creating or enhancing intellectual property, this clause should address ownership rights and specify whether the representative retains any rights or if all intellectual property belongs to the company. 7. Non-competition and non-solicitation: To safeguard the company's interests, this clause may restrict the sales representative from engaging in similar sales activities or soliciting clients for a specific duration after the agreement termination. Different types of Georgia Self-Employed Independent Contractor Agreements with Sales Representatives may include industry-specific versions, such as: 1. Real estate sales representative agreement: Tailored for individuals representing real estate agencies, outlining their duties related to property listings, client showings, negotiations, and commission structures. 2. Pharmaceutical sales representative agreement: Created to meet the needs of pharmaceutical companies engaging sales representatives to promote and sell their products to healthcare professionals. 3. Technology sales representative agreement: Designed for independent contractors promoting and selling technology products or services, including software, hardware, or specialized technical solutions. It is important to note that the content of the agreement should be carefully reviewed by legal professionals to ensure compliance with Georgia's laws and specific industry regulations.
