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Invoking Substitution Clause

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    #11
    Originally posted by takethebus View Post
    Hi,

    I am currently in a support role contracted to client via agency and will soon be thinking about some time off. I have quite a tight substitution clause in regards to the contract between my limited and the agency in that the client may not reasonably refuse the provision of a substitute if properly qualified etc etc.
    My brother in law has recently been made redundant and has a very similar skills profile to mine and as he is out of work I am thinking of offering him as a substitute thus continuing the billing from my limited and earning a little for it and also providing him with a few weeks work, plus it may be good for my working practices to show that I have substituted?
    Assuming that the clients upper contract with the agency is similar, Can anyone think of anything that would be an issue in employing my brother in law as I would be doing this on his skills and ability rather than who he is?
    As it would be a short term assignment what would be my options/limitation on how to do this through the company - PAYE?
    Thanks
    Takethebus
    Avoid PAYE - you'll need to offer workplace pensions and all the other employer stuff.

    Assuming BIL is not already a contractor, the easiest thing is probably for him to bill you, and declare it on his tax return. Depending on whether you're talking 2 weeks or 2 months, he may need to register as self-employed. But check with your accountant.

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      #12
      Chap at my last client did this. He was working in the facilities/power area. Got a younger chap in, went off traveling for 6 months.

      It all seemed to go well. The substitute chap worked through the original guy's company. They weren't related (like the OP), but knew each other from previous jobs.

      All the client wants is the job done properly at the end of the day. If you are confident your brother in law can do that, I say go for it. All good experience.

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        #13
        When I have done this I have used another limited company contractor, so it was a business to business between us and they had their own employers liability etc as they weren't an employee of my business.

        As far as it going wrong, I pointed out the clause in the contract that my business was liable to fix any issues free of charge in a delivery anyway.

        My subcontractor delivered a specification which I reviewed with them, then I delivered it to the client and the client reviewed it, I fixed any issues the client raised myself at my cost (time).
        Last edited by FarmerPalmer; 21 November 2015, 17:11.

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          #14
          Originally posted by v8gaz View Post
          Pleased to meet you NLUK - I have. Got a mate in for a week, we split the invoice as he got up to speed, then I got out of there and he ran the contract to the end. (personal reasons to move on)

          Client was perfectly happy, and it all ended well.
          Eh.. Why did I get a mention when you quoted someone else?
          'CUK forum personality of 2011 - Winner - Yes really!!!!

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            #15
            Originally posted by northernladuk View Post
            Eh.. Why did I get a mention when you quoted someone else?
            Three reasons:

            1. I am old
            2. I was tired
            3. It's always nice to meet you NLUK
            World's Best Martini

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              #16
              Originally posted by psychocandy View Post
              Support environment and sending in a sub? Good luck with that one.

              Might be in the contract but a lot of clients would be horrified at the thought of paying someone else.
              The mistake you consistently make is presuming that all companies are the same.
              "You’re just a bad memory who doesn’t know when to go away" JR

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                #17
                Funny how people react "Oh no, you can't do that, client wouldn't wear it". Utter twaddle. Or you've only ever worked for completely up themselves, unreasonable customers. As a hiring manager, I'd definitely have allowed it.

                You go to the client, you say that you are planning to be off for x weeks, but you'll bring someone else in to do your job for you while you're away, with a handover period. "It won't cost you a penny more". Then see what happens.
                Down with racism. Long live miscegenation!

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                  #18
                  Originally posted by NotAllThere View Post
                  As a hiring manager, I'd definitely have allowed it.

                  You go to the client, you say that you are planning to be off for x weeks, but you'll bring someone else in to do your job for you while you're away, with a handover period. "It won't cost you a penny more". Then see what happens.
                  Agreed. As a hiring manager ( in a previous life ) I would have accepted it. BUT only if presented correctly.

                  If a "sub" just turned up on Monday morning and expected to start work then it would not have ended well for the sub or the contractor.

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                    #19
                    Thanks for the info in this thread, just what I needed for my research in finding a sub to cover 2 critical days in January before I fly back from my first vacation abroad in more than 10 years. Now I just need to find that sub and skill 'em up!

                    But this looks worrying, as I understand it if the right to substitution is not genuine it is an IR35 fail.... so most of y'all should be in IR35 by the logic given here....

                    Originally posted by jmo21 View Post
                    I'm with PC on this one. It might be in most of our contracts, but I've never met anyone who has used a subby clause.

                    A couple of folk on here have, but I suspect they are in a very small minority. I suspect {some large percentage} of clients would simply not let you do this regardless of your contract.

                    And by "not let you", they'd say "No you can't do that, and if you don't like it, we will terminate your contract".
                    This default font is sooooooooooooo boring and so are short usernames

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                      #20
                      Originally posted by MPwannadecentincome View Post
                      Thanks for the info in this thread, just what I needed for my research in finding a sub to cover 2 critical days in January before I fly back from my first vacation abroad in more than 10 years. Now I just need to find that sub and skill 'em up!

                      But this looks worrying, as I understand it if the right to substitution is not genuine it is an IR35 fail.... so most of y'all should be in IR35 by the logic given here....
                      Most contractors don't exercise the right to substitution so it relies on the other tests.

                      Oh and either of the parties can terminate the contract on that breach. In your case you simply point out you don't know which other clauses in the contract may be a sham.
                      "You’re just a bad memory who doesn’t know when to go away" JR

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