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 Massachusetts Self-Employed Independent Contractor Agreement with Sales Representative is a legal document that outlines the terms and conditions between two parties entering into a business relationship where one party acts as a sales representative for the other party's products or services. This type of agreement is specific to the state of Massachusetts and is designed to protect the interests of both the sales representative and the company they represent. This agreement defines the scope of work, compensation structure, and other important details regarding the relationship between the sales representative and the company. It typically includes provisions related to commissions, non-disclosure and confidentiality, non-compete clauses, and termination terms. There are various types of Massachusetts Self-Employed Independent Contractor Agreement with Sales Representative based on the specifics of the sales relationship: 1. Commission-based Agreement: This agreement outlines the commission structure where the sales representative receives compensation based on the sales they generate for the company. It highlights the commission percentage, payment terms, and any additional incentives or bonuses tied to sales targets. 2. Exclusive Sales Representative Agreement: In this type of agreement, the sales representative is granted exclusivity to represent the company's products or services within a specific geographic area or market segment. It restricts the company from appointing other sales representatives in the same area or competing directly with the sales representative during the agreement's term. 3. Non-exclusive Sales Representative Agreement: This agreement allows the company to appoint multiple sales representatives to promote their products or services without exclusivity. It may also include provisions related to the sales representative's obligations, including minimum sales targets, reporting requirements, and marketing support from the company. 4. Product-specific Sales Representative Agreement: Some agreements focus on specific products or services offered by the company. It outlines the sales representative's responsibilities, target market, and any specialized training or product knowledge required. This type of agreement may also include provisions related to product warranties or return policies. It is important for both parties to carefully review and understand the terms of the Massachusetts Self-Employed Independent Contractor Agreement with Sales Representative before signing. Seeking legal advice to ensure compliance with state laws is highly recommended.A Massachusetts Self-Employed Independent Contractor Agreement with Sales Representative is a legal document that outlines the terms and conditions between two parties entering into a business relationship where one party acts as a sales representative for the other party's products or services. This type of agreement is specific to the state of Massachusetts and is designed to protect the interests of both the sales representative and the company they represent. This agreement defines the scope of work, compensation structure, and other important details regarding the relationship between the sales representative and the company. It typically includes provisions related to commissions, non-disclosure and confidentiality, non-compete clauses, and termination terms. There are various types of Massachusetts Self-Employed Independent Contractor Agreement with Sales Representative based on the specifics of the sales relationship: 1. Commission-based Agreement: This agreement outlines the commission structure where the sales representative receives compensation based on the sales they generate for the company. It highlights the commission percentage, payment terms, and any additional incentives or bonuses tied to sales targets. 2. Exclusive Sales Representative Agreement: In this type of agreement, the sales representative is granted exclusivity to represent the company's products or services within a specific geographic area or market segment. It restricts the company from appointing other sales representatives in the same area or competing directly with the sales representative during the agreement's term. 3. Non-exclusive Sales Representative Agreement: This agreement allows the company to appoint multiple sales representatives to promote their products or services without exclusivity. It may also include provisions related to the sales representative's obligations, including minimum sales targets, reporting requirements, and marketing support from the company. 4. Product-specific Sales Representative Agreement: Some agreements focus on specific products or services offered by the company. It outlines the sales representative's responsibilities, target market, and any specialized training or product knowledge required. This type of agreement may also include provisions related to product warranties or return policies. It is important for both parties to carefully review and understand the terms of the Massachusetts Self-Employed Independent Contractor Agreement with Sales Representative before signing. Seeking legal advice to ensure compliance with state laws is highly recommended.