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?
A Tennessee Contract with Sales Representative as Independent Contractor to Sell Snow Removal Services in Exclusive Territory is a legally binding agreement between a company that offers snow removal services and a sales representative who will act as an independent contractor to sell those services within a designated territory in Tennessee. This contract outlines the specific terms and conditions under which the sales representative will operate, including their responsibilities, compensation, and rights. It also sets forth the exclusive territory in which the sales representative has the sole right to promote and sell the company's snow removal services, ensuring that there is no competition within that particular area. Keywords: Tennessee contract, sales representative, independent contractor, snow removal services, exclusive territory, agreement, terms and conditions, responsibilities, compensation, rights, promote, competition. Different types of Tennessee Contracts with Sales Representatives as Independent Contractors to Sell Snow Removal Services in Exclusive Territory may include: 1. Commission-based Contract: This type of contract provides the sales representative with a percentage-based commission for each successful sale they make within their exclusive territory. The commission rate is typically determined in the contract. 2. Fixed Compensation Contract: In this contract, instead of a commission-based structure, the sales representative receives a fixed compensation for their services. The compensation amount is agreed upon by both parties and remains constant regardless of the number of sales made. 3. Time-bound Contract: This contract type specifies a time period during which the sales representative will exclusively represent the company's snow removal services in the designated territory. After the specified time, the contract may be renewed or terminated, depending on the agreement. 4. Performance-based Contract: With this type of contract, the compensation of the sales representative depends on their performance and achievement of predetermined targets and goals. They may receive additional bonuses or incentives for exceeding sales targets. 5. Non-compete Agreement: In addition to the Tennessee Contract with Sales Representative as Independent Contractor to Sell Snow Removal Services, a non-compete agreement can be included to prevent the sales representative from engaging in similar sales activities or working for competitors in the same industry within a specified period. 6. Territory Expansion Agreement: This contract type allows for the expansion of the sales representative's exclusive territory as they successfully meet sales targets and demonstrate exceptional performance. The terms for territory expansion are negotiated and agreed upon in this contract. Remember, when drafting contracts, it is essential to consult with legal professionals to ensure compliance with Tennessee laws and regulations governing independent contractor agreements.
