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Conduct regulations 2003

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    Conduct regulations 2003

    I have been asked by my agency to opt out of the conduct regulations 2003, I am operating under an umbrella company from April so this is a new contract with the agency, should I opt out? I have read but can really find a definitive answer, if anybody could give me a heads up, thanks.

    #2
    If you are working under an Umbrella Company the contract isn't between you/your limited company and the agency but between the Umbrella Company and the Agency.
    "You’re just a bad memory who doesn’t know when to go away" JR

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      #3
      Yep, tell the agent to speak to your umbrella - they are your employer now.
      "I can put any old tat in my sig, put quotes around it and attribute to someone of whom I've heard, to make it sound true."
      - Voltaire/Benjamin Franklin/Anne Frank...

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        #4
        The service provider and the consultant need to opt out of the regulations to make it effective. Ultimately your choice whether to opt out, I don't see any upside for you in doing so.
        https://uk.linkedin.com/in/andyhallett

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          #5
          Sorry for late reply, I couldn't upload the attachment in work.

          This is what it says in the contract I received from the agency, the contractor in the attached is the umbrella company and the individual is me.

          I am happy to sign and return if it makes no difference to me , but just wanted to make sure that it doesn't !!

          Still cant upload, no jpeg?

          anyway here is a link to it:

          https://photos.app.goo.gl/rEXiqxx97EAPJrq78


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            #6
            It makes a difference. It is most likely not in your interests to sign it.
            Down with racism. Long live miscegenation!

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              #7
              opting out of the conduct regulations 2003 means:-

              1) the agency doesn't need to pay you if they aren't paid
              2) you are tied to the agency for whatever exclusivity period they try to force upon you (say 6 months) where if the contract is inside those regulations there cannot restrict you from using a competing agency or going to a competitor of the client.

              So if you don't mind being paid and want the agency to have the ability to stop you returning to the client then opt out but personally I wouldn't.
              merely at clientco for the entertainment

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                #8
                Ok thanks for the advice, I will choose not to opt out.

                Comment


                  #9
                  Originally posted by Andy Hallett View Post
                  The service provider and the consultant need to opt out of the regulations to make it effective. Ultimately your choice whether to opt out, I don't see any upside for you in doing so.
                  But also, to date, we've not seen a single situation where the contractors opt in/out status has made one iota of difference to a situation. We've got one running at the moment where the agent isn't pay a few weeks and they just won't pay regardless of what decision the contractor makes. The agents don't do it properly so the actual status of the contractor is never clear and even if it's done properly the agents just won't pay until you start them down the court route so even if they do it wasn't because of the opt in status.

                  'CUK forum personality of 2011 - Winner - Yes really!!!!

                  Comment


                    #10
                    Originally posted by northernladuk View Post

                    But also, to date, we've not seen a single situation where the contractors opt in/out status has made one iota of difference to a situation. We've got one running at the moment where the agent isn't pay a few weeks and they just won't pay regardless of what decision the contractor makes. The agents don't do it properly so the actual status of the contractor is never clear and even if it's done properly the agents just won't pay until you start them down the court route so even if they do it wasn't because of the opt in status.
                    The only justification for opting out of the conduct regulations was that it had some impact on IR35 status (in reality it doesn't but hey ho).

                    That just isn't the case if you are working through an umbrella company - the only incentives that remain are on the agency side of things so just don't sign them

                    What I find surprising is that an umbrella company would be happy for such an agreement to be made, as there is a risk that the agency may refuse to pay for some work and the umbrella company would need to pay for those ours (albeit it would be at minimum wage rates but even that adds up quickly).
                    merely at clientco for the entertainment

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