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.
The Washington Self-Employed Independent Contractor Agreement with Sales Representative is a legally binding document that outlines the terms and conditions of the working relationship between a self-employed individual or business and a sales representative. This agreement is specific to the state of Washington, ensuring compliance with local laws and regulations. This agreement establishes the independent contractor status of the sales representative, meaning they are not considered an employee but rather an independent business entity. It details the rights and responsibilities of both parties involved and sets forth the expectations for the sales representative's performance and compensation. Some key aspects covered in this agreement include: 1. Identification of the Parties: The agreement begins by identifying the parties involved, including their legal names, addresses, and contact information. This ensures clarity and establishes who is bound to the terms of the agreement. 2. Scope of Work: This section outlines the specific products or services the sales representative will be selling on behalf of the self-employed entity. It may also include the territory or geographical area within which the sales representative is authorized to operate. 3. Compensation and Payment Terms: The agreement defines how the sales representative will be compensated for their efforts. It specifies the commission rate or method of calculating commissions, as well as any additional benefits or incentives provided. Payment terms, such as when and how often payments will be made, are also detailed. 4. Confidentiality and Non-Disclosure: To protect the self-employed entity's trade secrets, confidential information, and client lists, this agreement includes provisions for confidentiality and non-disclosure. It ensures that the sales representative won't share or misuse sensitive information obtained during the course of their work. 5. Termination and Dispute Resolution: The agreement clarifies the circumstances under which either party can terminate the contract and outlines the notice period required. Additionally, it may include provisions for resolving disputes, such as through mediation or arbitration, to avoid costly litigation. Different types of Washington Self-Employed Independent Contractor Agreements with Sales Representatives may include variations in the commission structure, termination conditions, and additional clauses specific to the nature of the products or services being sold. For example, there might be separate agreements for sales representatives in different industries, such as technology sales, medical device sales, or real estate sales. When entering into a Washington Self-Employed Independent Contractor Agreement with a Sales Representative, it is important for both parties to thoroughly review the terms and seek legal advice if needed. This agreement safeguards the interests of both the self-employed entity and the sales representative, ensuring a fair and mutually beneficial working relationship.The Washington Self-Employed Independent Contractor Agreement with Sales Representative is a legally binding document that outlines the terms and conditions of the working relationship between a self-employed individual or business and a sales representative. This agreement is specific to the state of Washington, ensuring compliance with local laws and regulations. This agreement establishes the independent contractor status of the sales representative, meaning they are not considered an employee but rather an independent business entity. It details the rights and responsibilities of both parties involved and sets forth the expectations for the sales representative's performance and compensation. Some key aspects covered in this agreement include: 1. Identification of the Parties: The agreement begins by identifying the parties involved, including their legal names, addresses, and contact information. This ensures clarity and establishes who is bound to the terms of the agreement. 2. Scope of Work: This section outlines the specific products or services the sales representative will be selling on behalf of the self-employed entity. It may also include the territory or geographical area within which the sales representative is authorized to operate. 3. Compensation and Payment Terms: The agreement defines how the sales representative will be compensated for their efforts. It specifies the commission rate or method of calculating commissions, as well as any additional benefits or incentives provided. Payment terms, such as when and how often payments will be made, are also detailed. 4. Confidentiality and Non-Disclosure: To protect the self-employed entity's trade secrets, confidential information, and client lists, this agreement includes provisions for confidentiality and non-disclosure. It ensures that the sales representative won't share or misuse sensitive information obtained during the course of their work. 5. Termination and Dispute Resolution: The agreement clarifies the circumstances under which either party can terminate the contract and outlines the notice period required. Additionally, it may include provisions for resolving disputes, such as through mediation or arbitration, to avoid costly litigation. Different types of Washington Self-Employed Independent Contractor Agreements with Sales Representatives may include variations in the commission structure, termination conditions, and additional clauses specific to the nature of the products or services being sold. For example, there might be separate agreements for sales representatives in different industries, such as technology sales, medical device sales, or real estate sales. When entering into a Washington Self-Employed Independent Contractor Agreement with a Sales Representative, it is important for both parties to thoroughly review the terms and seek legal advice if needed. This agreement safeguards the interests of both the self-employed entity and the sales representative, ensuring a fair and mutually beneficial working relationship.
