Massachusetts Subcontractor Agreement
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How to fill out Subcontractor Agreement?
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FAQ
What Is Subcontracting? Subcontracting is the practice of assigning, or outsourcing, part of the obligations and tasks under a contract to another party known as a subcontractor.
An example might be a construction company that's been employed to build a house deciding to subcontract all the plumbing and electrical work out. In other words, they are paid for the entire job, and then they pay a plumber and an electrician to do specific parts of the job.
Subcontractor examples A digital marketing agency may engage a copywriter to perform the content and copywriting tasks as part of a larger project. A contractor in the construction industry may hire an electrician to perform electrical wiring services as part of a building job.
Who needs to register as a home improvement contractor? Any individual or any company that solicits, bids on, or performs residential contracting as a contractor or subcontractor on an existing one- to four-unit, owner-occupied primary residence in Massachusetts must register as a home improvement contractor.
8 things a subcontractor agreement should include Business information. Include names, businesses names, and contact information for both the subcontractor and the hiring contractor. ... Scope of work. ... Payment terms. ... Change orders. ... Licensing and insurance coverage. ... Dispute resolution. ... Termination clause. ... Flow-down provisions.
When you are looking at supply chain procurement, there are three types of subcontractor: Domestic Subcontractors. Nominated Subcontractors. Named Subcontractors.
For example, a freelance trainer might be subcontracted to provide training to an end client on a specific area of expertise while the rest of the training package is provided in-house by the main contractor. In such circumstances, the scope of the works requested should be outlined in the subcontractor agreement.
By law, the contractor cannot collect more than 1/3 of the cost of the contract in advance, unless special order materials are needed.
