Contract advice

[bold]

Hi all,

so finally got my first contract of the year, short 3 month stint overseas (I'm UK) . Received contract but due to Security checks on-going no start or end date is defined, Agency on my case at least three times a day to sign the contract, I'm hesitant to sign without start or end date specified but they say it needs to be signed now or thats it .

Any implications / advice anyone can give on this

Also there is a clause in the contract that states that Contractor does not have right to unilaterally withdraw a consultant from the service etc , if breached contractor is liable to pay agency a fixed some for each day the said default continues ???

new one on me but I'm fairly new to contracting (approx 2 years)

thanks

Bold

[TheFaQQer]

So, you sign the contract now, with no start date. Agency drags it out for another couple of months with still no start date. You find something else to do, and start that one - this one then suddenly finds a start date that you can't fulfil, because you are in another contract.

Where do you go from there?

Tell the agency that you will sign the contract once there is a definite start date. If they try to force you to sign, then I'd walk if it was me.

[TheFaQQer]

Also there is a clause in the contract that states that Contractor does not have right to unilaterally withdraw a consultant from the service etc , if breached contractor is liable to pay agency a fixed some for each day the said default continues ???

That sounds incredibly unfriendly in terms of IR35 - that contractually binds you to stay there until the end of the contract (with no defined end date!!), making you obliged to accept work.

WalkRun away, now.

[psychocandy]

Hmmm. Not cool....

[Gemma at Qdos]

This doesn't sound very good at all. As The Faqqer has said, without an end date or the right to terminate your contract during its term, you will be seen to have mutuality of obligations which is one of the main tests of IR35. You obviously need to look at all aspects of IR35 to come to a valid conclusion of your status but remember it's ok to be inside IR35 but you will need to pay the relevant tax/NIC if you are which may not make this contract worthwhile.
You shouldn't be asked to sign a contract that isn't complete either. Hold your ground or get out. (and make sure you pay the relevant tax/NIC whichever you decide to do )

[cojak]

Just be bolshy (professionally known as 'polite but standing your ground') and push back.

I have an agent desperate to get me on-site next Tuesday. Considering he only got the contract to me late yesterday and B&C are up to their hoxters in IR35 reviews, I told him that I'll be there Wednesday or Thursday (more likely).

If they don't like it they'll pick someone else, but I very much doubt that they will.

You need a bit of confidence in negotiating, agents push newbies hard as they know they'll roll over and accept almost anything.

[Wanderer]

Also there is a clause in the contract that states that Contractor does not have right to unilaterally withdraw a consultant from the service etc , if breached contractor is liable to pay agency a fixed some for each day the said default continues ???

So they want you to sign a contract to work when they request you to, pay a penalty if you can't work when they want you to but they make no commitment to what actual days you will be required to work. Great work if you can get it.

Tell them to come back with a start and end date and to remove the unreasonable penalty clause from the contract (which is most likely unenforceable anyway).

It's almost certain that the agency (not the client) are trying to screw you here so if they start getting bolshie with you then tell them you are going to make a courtesy call to the client to explain your contractual difficulties with the agency. This will make them hit the roof because the client will find out what a shower of tulip these people are.

Also, make sure the contract is formed under English law and that you don't agree to opt out of the agency conduct regulations because it sounds like you are dealing with a very nasty agency here.

[vadhert]

Run, run like the wind.