Letter of payment agreement template – Anytime you set out to hire a contractor or a subcontractor you’ll need to make certain that you have a written contract in place. This document represents an agreement between both parties as to what is expected and the compensation that will be paid once the job was completed. It is a legally binding contract based on the law once it’s been signed and should be very specific in nature in order to prevent any confusion or possibility of misinterpretation on either party’s behalf. To be sure the contract you fill out is formatted correctly you may look through various contract agreement samples to find one that best represents your need.
This form needs to be separated into several sections to be sure that all details of the contract are covered and there’s absolutely not any room for error. It should start with a section that explains who is doing the hiring and who is being hired. This section can also be used to describe in detail the job which the person or business is being hired to do. It could also cover any components or materials that should be used and any specialized equipment that will be necessary. For example John Smith is hiring Fred Blogs to utilize his backhoe to dig a trench for utilities which is 3 feet wide by 6 feet deep and 200 metres long.
The next part of the contract agreement must cover compensation, meaning how much the individual or company will be paid for the job they have been hired to do. This is accompanied by an assurance of services that’s the contractor agreeing to offer the listed services for the agreed upon amount and that all information gained through the project will be kept in the strictest confidence where deemed necessary by the employer. Finally the contract agreement must include information that covers when the contract is to begin and when it to end.
For people who have never had to finish this type of contract you can look online where you will find a lot of different sample contract agreements that cover every imaginable sort of job. You’ll almost certainly find several that relate directly to the job you have in mind and should make certain the one you select is lawful in the state where you’re headquartered. Because this is a legally binding contract it’s your job to make sure you cover all of the bases and leave no room for the independent contractor you hire to make a problem at any stage during the duration of the contract. Take a look the sample of letter of payment agreement template below at the attachment page.