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Being An Independent Contractor Who Retains Liability In The Working Relationship?

14 Aug Posted by in Mortgage Reduction Updates | Comments
Being An Independent Contractor Who Retains Liability In The Working Relationship?

How do you stand in terms of the topic of liability, being an independent contractor? It is a topic which does not receive nearly as much attention as it should from service providers, yet it’s something which could be problematic if they fail to safeguard themselves in the start, or perhaps seriously consider the wording and terminology in every legally binding contract they enter into.

Inside English law there is something referred to as “vicarious liability” where certain standards have to be fulfilled when it comes to establishing if an individual organisation is truly liable for damages or otherwise. Fundamentally it has been found that employees of a company can be covered by their employer’s liability, since they were carrying out work “expressly under the direction” of that employer in accomplishing the duties, if this should lead to an incident of some sort or other.

The aspect that has particular meaning to the independent contractor is the fact that terminology by itself doesn’t necessarily provide protection. For example, although you may call yourself some sort of private contractor and have signed a legal contract that says so together with another company, the court might find otherwise in some instances.

Within the legal matter referred to as John Dawson and Partners [Contractors] Limited versus Ferguson, 1976, it was subsequently revealed that a clear point of control was there between the agency and the 3rd party contractor. To paraphrase, certain things showed the association was definitely one of employee – employer, rather than what was previously indicated.

Everything relates to control. Liability can be imposed if an employer determines exactly what work has to be executed and precisely how it has to be accomplished. In the event that particularly precise instructions are provided from the organisation itself to the private contractor this can signify a causal link if any sort of situation leads to damages as a consequence.

Therefore, pay particularly close attention to the actual terms and conditions imposed via the organisation you enter into some sort of contract to serve. If it comes across as being rather micro-managerial overall then it could very well be considered to be, effectively, an employee – employer association.

Try to get the best independent contractor services available and additionally ask them for their respective advice in terms of the actual terminology and wording included in your legal agreements. You’ve got to be extremely clear about where you stand from the standpoint of liability, in order to obtain the appropriate kind of insurance cover and also to govern yourself appropriately. Furthermore, you should be certain that the company you deal with is entirely sure on their standing. You could suggest that it is nice to generally be “secured” through their respective insurance policy in the event of a failure of some kind, yet this kind of confusion or uncertainty can result in major problems down the road and might also lead to a breaking down of the actual working relationship between you. That is why it is best to pay exceptionally good attention to virtually all aspects of any agreement you sign and to be absolutely clear on your situation and any potential events down the road.

Regulation is really a fluid matter and generally there are frequent tests of an employer – employee connection and the actual position associated with the private contractor. As a result, only work with companies that will supply you with independent contractor services where they stay abreast of these “checks” and understand how legislation might be in process of change.

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