Template for payment agreement letter – Anytime you set out to hire a contractor or a subcontractor you’ll need to be 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’s a legally binding contract according to the law once it has been signed and should be very specific in nature so as to prevent any confusion or chance of misinterpretation on each party’s behalf. To make certain the contract you fill out is formatted properly you can look through various contract arrangement samples to find one which best represents your requirement.
This form should be broken down into several sections to be sure all details of the contract are covered and there is not any room for error. It should start with a section that explains who’s doing the hiring and who is being hired. This section can also be used to describe in detail the job that the person or company is being hired to perform. It may also cover any components or materials that should be used and any specialized equipment that will be needed. For example John Smith is hiring Fred Blogs to utilize his backhoe to dig a trench for utilities that is 3 feet wide by 6 feet deep and 200 yards long.
The next part of the contract agreement should cover compensation, meaning how much the individual or company will be paid for the work they’ve been hired to perform. This is accompanied by an assurance of services which is the contractor agreeing to provide the listed services for the agreed upon amount and all information gained through the job will be held in the strictest confidence where deemed necessary by the employer. Finally the contract arrangement should include information that covers if the contract is to begin and when it to end.
For people who have never had to complete this type of contract you can look online where you’ll find many different sample contract agreements that cover every imaginable type of job. You’ll most likely find several that relate directly to the job you’ve got in mind and should be sure that 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 be sure that 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. Have a look the sample of template for payment agreement letter below at the attachment page.