Why a legal contract?

**kingcook** · 28 February 2013, 21:31

Originally posted by OnceStonedRose View Post

Why should a freelance developer need a contract? If I have a service to offer a company, and that service is knocking out code, why should it be any different to if the service I was offering was washing cars or mowing lawns?

Originally posted by OnceStonedRose View Post

I've never had to sign a time-sheet from my window cleaner?

Your window cleaner charges £5 per week, not tens of thousands of pounds.

Originally posted by OnceStonedRose View Post

When my boiler pops and a plumber turns up to remedy the problem, albeit temporarily and costly, I've never had to sit and negotiate terms and wait for his legal department to ensure the contract ensures he won't be in some horrible tax position......

Your plumber charges estimate £200 for a one-off job, not tens of thousands of pounds.

If you really think you don't need a contract, try doing some work for someone without one. GOOD LUCK

**OnceStonedRose** · 28 February 2013, 21:35

The amount of money should make no difference whatsoever legally? I could knock out a chuck of code and get £8k from one client in a month, my Visual Apparatus Engineer could wash 1600 windows during the same period charge a fiver a pop and have the same wedge? What's the difference really?

**kingcook** · 28 February 2013, 21:39

Originally posted by OnceStonedRose View Post

The amount of money should make no difference whatsoever legally? I could knock out a chuck of code and get £8k from one client in a month, my Visual Apparatus Engineer could wash 1600 windows during the same period charge a fiver a pop and have the same wedge? What's the difference really?

If i were washing 1600 windows at £5 each, i'd want a signed contract

**OnceStonedRose** · 28 February 2013, 21:43

No, you'd want 1600 signed contracts yeah????

Why should I need a contract? I take the risk, they decide they don't wanna pay?????, I either get paid or don't? How could this be construed as "Employment in disguise"? Surely less is more?

**kingcook** · 28 February 2013, 21:49

Originally posted by OnceStonedRose View Post

No, you'd want 1600 signed contracts yeah????

Why should I need a contract? I take the risk, they decide they don't wanna pay?????, I either get paid or don't? How could this be construed as "Employment in disguise"? Surely less is more?

No, just the one contract would suffice. I'd want this incase, at the end of the job, the chump who i'm cleaning the windows for says, "You want £5 PER WINDOW? I meant £5 for the whole job".

If you can't see the point of a contract when big monies are involved, well, how can I put it...

**stek** · 28 February 2013, 21:52

Why a legal contract?

It's to stop us claiming employee rights because we are disguised employees.

The window cleaner isn't...

**TheFaQQer** · 28 February 2013, 21:56

Originally posted by OnceStonedRose View Post

The amount of money should make no difference whatsoever legally? I could knock out a chuck of code and get £8k from one client in a month, my Visual Apparatus Engineer could wash 1600 windows during the same period charge a fiver a pop and have the same wedge? What's the difference really?

It's all about managing risk by both parties.

If you have 1600 clients owing you £5 each, the chances of you not being paid £8k is incredibly slim. If you have one customer owing you that amount, then it's pretty foolish to enter into that agreement without formalising the arrangement for when and how that payment will be made.

Likewise, if you pay someone a fiver and they don't deliver, then that's a low risk - ultimately it doesn't matter too much if your windows remain dirty. If you pay someone £8k to deliver, then you would be stupid not to document exactly what you are paying for, and when to expect delivery.

**northernladuk** · 28 February 2013, 21:57

Spin it around... Would you want to pay someone a good chunk of money to help (or hinder if it went wrong) your business with nothing in place?

You need a legal document as it has many point in it such as when you get paid, your obligations, their obligations etc etc... It protects both parties. Just imagine the tulip that would kick up if there wasn't one and client wanted to get rid or not pay you.

And technically you do have a contract of sorts with someone washing your car. He says he will wash it for x pounds, you say ok. You have entered in to a legal contract with him. He doesn't wash it you don't have to pay. It's the lack of complexity that negates the need for a signed document.

I have to say it is pretty bloody poor business sense and to some extent, common sense, if you cannot see why this is required, particularly bearing in mind if covers your arse if it all goes wrong as well.

**OnceStonedRose** · 28 February 2013, 22:00

My question was more from the point of tax-man coming knocking. When he says he wants to root through contracts, if a freelance developer turns round and says, "root through what?????" he say "your contracts" and freelancer says, in a tree hugging, all is cool in the world kinda way, "naaaaah maaaannnnnnn. I don't do contracts bro... Word is bond"

What's the impact? What they gonna step up to now?

Why a legal contract?