Contract terms - please advise

[Dr Evil]

Hi
I have a contract come through and upon reading the term of notice, noticed that my contract can be terminated with immediate effect, without any payment in lieu of notice.
- if the client requires, for any reason , the terimination of services provided by the company
-if the client has failed to pay an elan invoice in relation to the services provided by the company

has anyone else come across this ?

[chef]

Elan IT by any chance?



not my favourite Agency and they enjoy pride and place on my agency greylist (a list that will only be considered if warchest is depleted and i'm desperate)

[Benny_UK]

I've just signed a contract with Elan and that clause is in there.

Not very happy by it, but since this is my first contract haven't argued too much about it. If there is a renewal up for grabs, will then kick up a fuss.

Ben

[Dr Evil]

contract terms

YES it is Elan

I have not dealt with Elan before and the termination terms concerned me, I do not know how flexible the agency is, and wether there is any point in raising this issue with them. I do not want to leave myself in a worse position.

[Dr Evil]

I've just signed a contract with Elan and that clause is in there.

Not very happy by it, but since this is my first contract haven't argued too much about it. If there is a renewal up for grabs, will then kick up a fuss.

Ben

Same here, it is my first contract, but not happy about this at all as it seems as though I am bound by the terms of their contract with the Client, i.e. if the client don't pay Elan (so up to 90 days later) I could have a request land on my doormat asking for money back!! I could end up working for the client for free!!

[Benny_UK]

Depends on the client really. I'm quite sure the client I'm working for will pay, and have spoken to other contractors who have working for the client before and said they have a good record of paying up.

It's a risk no doubt, but one I'm willing to take. Chances are that most Agencies have these type of clauses in their contracts anyways.

Ben

[thunderlizard]

I usually work on similar terms for time&materials contracts - basically, the client can terminate whenever they want. No reason required.

It's worth a few extra quid on the day rate, and what lots of people don't realise is that the way many IT contracts work, without any obligation to offer ongoing work, the client can just leave the contract in place but not offer any work and it amounts to the same thing anyway.

It just boils down to whether you prefer to lock the client in for a period or not.

[Dr Evil]

Any advice on the following clauses?

1. I can't negotiate anything on the rate for 12 months from commencement.

2. I can't work for the client for 12 months after leaving without paying Elan 25% of the fee agreed (whether through a third party or not).

3. I got the contract the day before I was due to start, and it says that if I turn up on site I am bound by the terms of the agreement whether signed or not!!

This last one in particular seems VERY dodgy!!

[thunderlizard]

As with any clauses, get them changed if you don't like them, or put your rate up to compensate. But:

(1) Normal for a 12-month contract, unusual if less. Does it cut both ways? Or you could just get your negotiating over with now, e.g. agree up front to an initial "discount" rate for the first 6 months then go back to your "standard" rate after that. Don't forget that whether things are negotiable or not is itself a matter for negotiation.

(2) not entirely unusual. Need to specify exactly what the "fee agreed" means because there are several possibilities.

(3)Rather bad faith for them to stick that in so close to the start date, but it's good practice to work on that basis anyway. Never start without a completely signed contract unless you're really on your uppers. Clients, and agents especially, will bend over backwards to get you on site, but once you're there they have little incentive to change anything.

[Wanderer]

Same here, it is my first contract, but not happy about this at all as it seems as though I am bound by the terms of their contract with the Client, i.e. if the client don't pay Elan (so up to 90 days later) I could have a request land on my doormat asking for money back!! I could end up working for the client for free!!

They can ask all they want but they won't get their money back because they know they don't have a leg to stand on. Why do agencies insist on putting this BS in contracts? Maybe some people who don't know any better roll over and pay up?