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Form E - Subcontractor Agreement

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Subcontractor Agreement

Entered into between

___________________________

(hereinafter referred to as "the Contractor")

Residing at:

___________________________

___________________________

and

__________________________

(hereinafter referred to as "the Principal")

With main place of business situated at:

____________________________

____________________________

Now therefore the parties agree as follows:

1. The Contractor shall provide the Principal with the necessary skills and knowledge _____________which is needed by the Principal in order to ______________________________.

2. This agreement shall be effective from_______________ 20____ to _______________ 20 ____ , at which date the agreement shall terminate due to___________________________________.

3. At no stage shall the Contractor demand or have any expectation to have this contract renewed or another agreement entered into, subsequent to the termination of this agreement as envisaged in clause 2 above.

4. The Contractor shall receive in full payment an amount of R______ on a monthly basis. The Contractor shall be expected to invoice the Principal for the agreed amount and payment shall be made on the___ of each month/within 7 days of receipt of such invoice made available to the Principle, at the Principal's main place of business.

5. The duties that the Contractor shall be required to perform are / as set out in Schedule1 hereto /, related to all aspects of ____________ and could be extended from time to time.

6. The Contractor shall be liable to pay tax to the Receiver of Revenue and indemnifies the Principal from all liability for not deducting any personal tax, PAYE or SITE that the Principal is legally not required to do in terms of this agreement due to the non-existence of any employment relationship whatsoever.

7. The Contractor shall not be entitled to any leave, sick leave or any other benefits normally provided to the Principal's employees.

8. The Contractor shall not be bound to work the normal fixed working hours but shall be expected to be available to be consulted on any issues that may arise out of this agreement. The Principal however, requires that the Contractor perform the services tendered during the Principal's office hours, which are currently _______ to ________.

9. The Contractor shall be allowed to use the Principal's facilities, such as telephones, fax machines, copiers and stationery.

10. The Contractor shall not be entitled to use any of the Principal's official stationery, such as letterheads, complimentary slips, etc. All correspondence shall be approved and signed by an authorised representative of the Principal.

11. The Contractor shall have no authority over any of the Principal's employees, nor shall such employees be expected to report to the Contractor.

12. All consultative work that may require that employees need to be instructed to perform various tasks, shall always be directed through the normal lines of command existing in the company, of which the Contractor is excluded from.

13. This agreement may be terminated by each party giving the other___ day's written notice at the addresses stipulated above.

14. The parties agree that this agreement contains all the conditions, and that no representation that is not according to this agreement shall in any manner vary, alter or extend any of the provisions contained in the agreement.

Signed at__________________________this______________day of__________ 20____

PRINCIPAL______________                                                                    CONTRACTOR________________

WITNESS_________________

Compiled by M. Scheepers

This manual is copyright under the Berne Convention. In terms of the Copyright Act, No. 98 of 1978, no part of this manual may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying, recording or by any information storage and retrieval system, without permission in writing from the author.

 

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