New contract, same client and hangover tasks

[New2This]

Following a successful 5 month outside contract (contract A), my client would like to offer me a new one (contract B) that is working on the same large programme but on a totally different piece of work.

Both contracts are day rate via an agency.

There is still a lot of activity needed on the project contract A was on, and there are talks of me picking them up when I move to contract B. Note the remaining activities are due to them underestimating the size of the work, not due to me delivering less.

I’m trying to articulate to them that if they wanted me to work on contract A work after the end date, I’d need a new contract (contract C) to run alongside contract B. However as this is my first day rate outside role I’m having trouble making this land with them (I think other contractors just do whatever is asked irrespective of what’s in the contract).

Any advice on how I can firmly position this or has anyone experienced the same?

[Paracelsus]

As you're on a day rate, I would say all they need to do is include whatever work they want you to do in the new contract.
You won't get another simultaneous contract - that's overkill, you can have multiple projects/pieces of work in a contract's statement of work, nothing wrong with that.

What they can't do is just put the new project on alone and then expect to be able to pull you onto other (previous or not) work as and when, that is a big no for outside IR35. They may try this either because the PM/agent don't understand or have awareness of IR35 or simply don't care as they expect to be able to pass tax liability on.

Just make it clear to them that for IR35, all possible work they expect you to do needs to be on the SOW of the new contract.

[ladymuck]

The contract should state all deliverables expected of you.

In all practicality this is an extension of contract A with a new deliverable being added.

Don't go overthinking it. You just need one contract with all items clearly stated on it.

If A is going to be charged at a different rate to B then make sure that's in there too and you have an agreed mechanism for reporting how to apportion the effort against each.

[WTFH]

Why do you want the company to give you two contracts?
Are you hoping they'll pay you twice, or something else?

[northernladuk]

It's a simple situation with just a re-adjustment of your thinking needed to give you your solution.

Forget the clients situation and their programme. Look at it at a contract perspective. Nothing more. You were contracted to deliver a piece of work in a time frame. The contract ends when that work is done or the time ends. Period. At the time the contract ends you have no further obligation to the client or the programme. Don't get caught up in it's timelines.

So now you have to look at the next chunk or work and put a SOW wrap around it. They wanted A in X months. That's done. They now want A and B in the next X months. Get a contract to reflect that and off you go. Don't view it as an extension of the work you were doing. That's closed. It's a new piece of work even though it's dovetailing what you did in the last contract. You get me? It's a bit pedantic but as a contractor it will help you understand the chunks of work you are doing and how to handle the next contract.

Just think of it as a clean sheet and define what is needed in the new contract and then get on with it. Because it is a clean sheet it will nudge you to get an agreement on amount of time you need to spend on both and get that documented so you don't get pulled from pillar to post as well. Try get it on paper to avoid arguments later.

And if you don't have WFH/office arrangements nailed down get that in there as well.

[northernladuk]

Why do you want the company to give you two contracts?
Are you hoping they'll pay you twice, or something else?

I don't read it as that. Just the OP being in a situation where there is work left from previous contract and some more coming. They are just trying to get their head around how they word the contracts. The answer is a new contract with all the work expected. Nothing more.

[malvolio]

I don't read it as that. Just the OP being in a situation where there is work left from previous contract and some more coming. They are just trying to get their head around how they word the contracts. The answer is a new contract with all the work expected. Nothing more.

I's not difficult. Get them to extend the current contract, and define the new requirement (and associated rate if necessary) in the attached schedule. Or, if their systems don't allow that to happen (quite possible!) then get a new contract, same Ts&Cs as now and a schedule describing what needs to be done including any carryover work.

Any other variant leaves you open to challenges over D&C. Always remember, you are a supplier of services, not of service

[northernladuk]

I's not difficult. Get them to extend the current contract, and define the new requirement (and associated rate if necessary) in the attached schedule. Or, if their systems don't allow that to happen (quite possible!) then get a new contract, same Ts&Cs as now and a schedule describing what needs to be done including any carryover work.

Any other variant leaves you open to challenges over D&C. Always remember, you are a supplier of services, not of service

That would be correct but I am assume the OP is struggling with this one so gave it as basic as it can to try help with their thinking. Once they've gotten their head around what they are and do then your approach would come naturally.

[New2This]

Thank you all for taking the time to reply.

You’ve certainly helped me simplify it in my mind! I didn’t think it was relevant but there are some internal politics (isn’t there always!) so I’m very keen to have things clearly set out.

I have already signed contract B with the supporting sow so if they want to renegotiate to add more to the scope then that’s a conversation we can have and a new contract will be needed (instead of B rather than as well as which is where my thinking was going before).

Appreciate it!

[northernladuk]

Thank you all for taking the time to reply.

You’ve certainly helped me simplify it in my mind! I didn’t think it was relevant but there are some internal politics (isn’t there always!) so I’m very keen to have things clearly set out.

I have already signed contract B with the supporting sow so if they want to renegotiate to add more to the scope then that’s a conversation we can have and a new contract will be needed (instead of B rather than as well as which is where my thinking was going before).

Appreciate it!

You can have an overarching contract and then separate SoW's within that contract but just becareful that doesn't turn in to a thinly veiled D&C. There is clear SoW's to work from under a contract but if can bleed in to direction and control with a bit of paper attempting to cover it. Doesn't happen often but one to watch.

Get that covered and then the next challenge is not being pulled from pillar to post with the last work needing you so much it puts the new work at risk. That's something you'll have to nail early and get clear directon on time spent on each and priorities.