How do you define contracting and subcontracting?
Definition of Terms:• Contracting or Subcontracting – refers to an arrangement whereby the principal agrees to farm out a job, work or service to a contractor/subcontractor within a definite period of time regardless whether the job is completed within or outside the premises of the principal.
Who is a subcontractor in a construction project?
Subcontractor. A subcontractor is a person who is hired by a general contractor (or prime contractor, or main contractor) to perform a specific task as part of the overall project and is normally paid for services provided to the project by the originating general contractor. While the most common concept of a subcontractor is in building works…
What are the different types of subcontractors in the UK?
In United Kingdom building industry contract law, particularly when using JCT standard form contracts, three subcontractor types are identified: A subcontractor who contracts with the main contractor to supply or fix any materials or goods or execute work forming part of the main contract.
Who is responsible for paying subcontractors and suppliers?
Usually, the main contractor is responsible for coordinating and supervising all of the subcontractors. One of the contractor’s responsibilities involves making sure each of the involved subcontractors and suppliers is paid for their work.
When to use scope of work in subcontractor agreement?
The agreement is between the independent contractor and subcontractor only. The scope of work is a term that is used to describe the exact specifications for a task that is to be completed by a subcontractor. This description will be needed when trying to find a subcontractor for a specific job.
What is considered a subcontractor?
A subcontractor is a company or person who is hired by a general contractor (or prime contractor, or main contractor) to perform a specific task as part of the overall project and is normally paid for services provided to the project by the originating general contractor. While the most common concept of a subcontractor is in building…
What is a sub contractor agreement?
Subcontractor Contract Agreement. Standard. Subcontractor contract agreement is the legal document by the way of which one contractor hires another contractor (thus a subcontractor) to undertake a part of the main contractor’s work.
What is a 1099 contract agreement?
Contracts. The 1099 agreement, usually referred to as an outside contractor or freelance agreement, should clarify the extent of your relationship with clients. The agreement, or contract, defines the scope of the work you undertake, deadlines and quality assurance, and pay scale offered by your client.