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?
Chicago Illinois Independent Contractor Agreement Between Licensed Counselor and Therapist and Licensed Counselor and Therapist Practicing as a Solo Practitioner: A Comprehensive Guide Introduction: In the bustling city of Chicago, Illinois, licensed counselors and therapists often choose to practice as independent contractors, either joining an established counseling center or starting their own solo practice. To ensure a smooth business relationship between the contractor and their employing entity, it is crucial to have a well-crafted independent contractor agreement in place. This article will delve into the details of what such an agreement entails, outlining its clauses, types, and the significance of incorporating relevant keywords. Key Considerations: 1. Identifying the Parties: The independent contractor agreement begins by explicitly stating the identities of the licensed counselor and therapist (hereafter referred to as the "contractor") and their employing entity (e.g., counseling center or private practice). This section also includes their contact information and professional credentials. 2. Scope of Services: This vital section outlines the specific therapeutic services that the contractor will provide, including individual, couples, family, or group counseling. It should define the techniques, theories, and modalities employed by the contractor and clarify any limitations or specialized areas of expertise. 3. Duration, Termination, and Renewal: The agreement specifies the duration of the engagement, typically as a renewable term. Termination conditions, such as notice periods, grounds for termination, and procedures for contract renewal, should be explicitly stated. This section also covers non-compete and non-solicitation clauses to protect the parties' interests. 4. Compensation and Payment: Compensation details, such as fee structures, payment frequency, and reimbursement policies for expenses incurred, are comprehensively outlined in this section. It may also include provisions for bonuses or profit-sharing arrangements, if applicable. 5. Confidentiality and Privacy: Given the sensitive nature of counseling services, confidentiality and privacy provisions are essential. The agreement should specify the contractor's obligations regarding client information protection, adherence to HIPAA (Health Insurance Portability and Accountability Act) guidelines, and the use of secure communication channels. 6. Professional Liability and Insurance: To safeguard both parties in case of unforeseen incidents, this clause states the contractor's obligation to obtain and maintain professional liability insurance. It may also address the employer's responsibility to provide coverage for general liability or workers' compensation. 7. Independent Contractor Relationship: This section emphasizes the independent contractor's status and clarifies that they are not employees of the employing entity. It highlights the contractor's responsibility for their own taxes, licensing, and professional development while excluding rights and benefits typically associated with employment. Types of Chicago Illinois Independent Contractor Agreements: 1. Full-time Independent Contractor Agreement: This type of agreement is designed for licensed counselors and therapists who exclusively work as independent contractors, committing a significant portion of their professional time to the employing entity. 2. Part-time Independent Contractor Agreement: For licensed counselors and therapists who engage in independent contracting alongside other professional commitments, be it another job or private practice, a part-time independent contractor agreement provides flexibility and allows for a balance of multiple roles. 3. Project-based Independent Contractor Agreement: Ideal for short-term assignments or specific projects, this agreement type covers scenarios where licensed counselors and therapists collaborate on a defined scope of work, delivering outcomes within a predetermined timeframe. Conclusion: Drafting a Chicago Illinois Independent Contractor Agreement Between Licensed Counselor and Therapist and Licensed Counselor and Therapist Practicing as a Solo Practitioner requires careful consideration of all the mentioned clauses and tailoring them to suit the unique requirements of the parties involved. Employing relevant keywords throughout the agreement ensures its searchability and relevance when seeking legal information related to independent contracting in the counseling and therapy field. Always consult legal professionals experienced in Illinois state laws to review and finalize any independent contractor agreement.
