Direct Aproach

[Mearcat]

Hi

It seems now that agencies are struggling with AWR's meaning that their rates are going up and we are getting less, with clients trying cheaper alternatives and seemingly flirting with the idea of having direct contractors, this could be a move I could take hopefully with my current client with which I am working through an agency. I have a Ltd company and recently asked for an IR35 compliant contract ( yes we know that it is not) so I was sent a contract for ltd companies and an opt out form, at the bottom of my contract was a condition that I would have to take 6 months off from my current client before going direct now surely the opt out form would make the other contract void? If so could my next direct contract with the same client be a verbal one or do I need a written one? if so does any one know where I can get a professionally written and legally binding contract from?

Thanks

[northernladuk]

Hi

It seems now that agencies are struggling with AWR's meaning that their rates are going up and we are getting less, with clients trying cheaper alternatives and seemingly flirting with the idea of having direct contractors,

I don't agree with this reasoning but cba to argue it.

this could be a move I could take hopefully with my current client with which I am working through an agency. I have a Ltd company and recently asked for an IR35 compliant contract ( yes we know that it is not) so I was sent a contract for ltd companies and an opt out form, at the bottom of my contract was a condition that I would have to take 6 months off from my current client before going direct now surely the opt out form would make the other contract void? If so could my next direct contract with the same client be a verbal one or do I need a written one? if so does any one know where I can get a professionally written and legally binding contract from?

Thanks

You would work for a client on a verbal contract? Blimey, you like to live on the wild side.

Look on the PCG website. They have standard pre-written contracts. I seem to remember there was some on the QDOS one as well. They have useful stuff so worth a look just to see what else they have as well.

[Wanderer]

I'm a bit puzzled by this post, Mearcat

Did you ever signed an opt out for this agency or is this the first time they have offered you one?

[Mearcat]

I'm a bit puzzled by this post, Mearcat

Did you ever signed an opt out for this agency or is this the first time they have offered you one?

This is some cut and paste terms of opt out I have to show- AGREEMENT WITH THE LIMITED COMPANY CONTRACTOR (TERMS OF ENGAGEMENT) OPT OUT VERSION (yes... I seem far out of the playing field') one fact being I Have not entirely read the contracts in full! "The Contractor shall not for a period of six months following the termination of the Assignment supply its services directly, or through any other person, firm or Employment Business, to any Client for which it has carried out Assignments at any time during the previous six months [save in the case of supply through an employment business or recruitment consultancy with whom the Contractor was also registered at the date of commencement of the last Assignment" Is still on the opt out form.... I have not signed any contract so far but have been working for the last 3 weeks the last time i used the agency was a year ago and perhaps they will use the old contract but for this one I have not signed.. would that work in my favor?

[Mearcat]

I don't agree with this reasoning but cba to argue it.



You would work for a client on a verbal contract? Blimey, you like to live on the wild side.

Look on the PCG website. They have standard pre-written contracts. I seem to remember there was some on the QDOS one as well. They have useful stuff so worth a look just to see what else they have as well.

Thank you northernladuk your reply is hard and to the point and that is the sort of comment i am after, but can a verbal contract work both ways? saying "its dodgy ground for both parties" atst I would not even go down any route not with out testing the water but finding the ferry instead.

[Wanderer]

I have not signed any contract so far but have been working for the last 3 weeks the last time i used the agency was a year ago and perhaps they will use the old contract but for this one I have not signed.. would that work in my favor?

People who work without a contract or don't read their contract don't really get much sympathy here because it's not a very clever thing to do. An agency and client allowing a contractor to start work without a contract is unprofessional too.

At very least, you need to do a search on this forum for "contract review" and get one of the recommended professional reviewers to look at the contract you have been offered.

[Mearcat]

People who work without a contract or don't read their contract don't really get much sympathy here because it's not a very clever thing to do. An agency and client allowing a contractor to start work without a contract is unprofessional too.

At very least, you need to do a search on this forum for "contract review" and get one of the recommended professional reviewers to look at the contract you have been offered.

Thank you for your comment.. I have to agree with you here, after all I am new to the game and that is why I am on this site to gain valid comments, but am I tied to any legal bindings if I have not signed? or perhaps the client has signed a similar contract with the agency?

[escapeUK]

I have a Ltd company and recently asked for an IR35 compliant contract ( yes we know that it is not) so I was sent a contract for ltd companies and an opt out form, at the bottom of my contract was a condition that I would have to take 6 months off from my current client before going direct now surely the opt out form would make the other contract void?

Thinking about this, isnt this contract with the contractor's ltd company? So therefore if he did want to go direct he could just dissolve his company, start a new one and the old contracts conditions is null and void?

[d000hg]

You would work for a client on a verbal contract? Blimey, you like to live on the wild side.

Agreed, at least send a formal-sounding email and get them to reply!

[northernladuk]

Thank you northernladuk your reply is hard and to the point and that is the sort of comment i am after, but can a verbal contract work both ways? saying "its dodgy ground for both parties" atst I would not even go down any route not with out testing the water but finding the ferry instead.

Well you have to apply a bit of common sense and also think about your position. You are the one doing the work and then hoping you get paid at the end. You should be wanting this contract because you are the only party at risk by not having one. You want something for your work so you will be one being left out of pocket. It isn't both ways, money comes one way and one way only. Yes the legal gumpf could work both ways but I work for money firstly and foremost.