Subcontractor Agreement

When you hire a general contractor for a construction project, HVAC installation, or roof replacement, they might not always know precisely what they need to do.

Perhaps they run into a situation where a particular job requires a license the contractor doesn't have or merely doesn't have the expertise to complete it.

They typically hire a subcontractor to take care of a specific part of a contract when that happens. But before the subcontractor can start the job, they should enter a Subcontractor Agreement with the general contractor.

What Is a Subcontractor Agreement?

A Subcontractor Agreement is a straightforward contract between two parties working on the same project. The hired contractor reaches out to a subcontractor and offers them the work.

In the Subcontract Agreement, they outline the terms of the contract and the payment information. For example, if you hire a general contractor to replace drywall, but the job requires electrical work, they may hire an electrician for this one task.

The Subcontractor Agreement should contain all the necessary information about parties involved, the scope of work, change orders, dispute resolution protocol, and details about termination. It should also specify the duration of the contract.

Other Names for Subcontractor Agreement

Depending on your state, a Subcontractor Agreement may also be known as:

• Master Subcontractor Agreement
• Subcontract Agreement
• Standard Subcontractor Agreement
• Subcontractor Contract

Who Needs a Subcontractor Agreement?

Subcontract Agreements are necessary in cases where you need to hire another person or a business to complete a project.

The scope of the work and the reasons for a Subcontract Agreement may vary, but it's essential to put the agreed terms in writing.

Why Use Swyft Forms for Your Subcontractor Agreement

Customized for you, by you

Create your own documents by answering our easy-to-understand questionnaires to get exactly what you need out of your Subcontractor Agreement.

Specific to your jurisdiction

Laws vary by location. Each document on Swyft Forms is customized for your state.

How to Create a Subcontractor Agreement With Swyft Forms

Independent contractors often need to seek the help or expertise of other entities to complete a project. Sometimes, they need to act fast and might not have the time to create an agreement from scratch. That is why having a well-written template that covers all the bases can be beneficial.

Let Swyft Forms help with our extensive library of attorney-vetted legal forms. The process is fast and easy. All you have to do is fill out our easy-to-understand questionnaire. Once complete, simply download your form as a PDF or Word document from your secure online account.

What Information Will I Need to Create My Subcontractor Agreement?

To create your document, please provide:

• The Effective Date: The exact date when the agreement goes into effect
• Contractor Details: Full legal name of the contractor and their contact information
• Subcontractor Details: Full legal name of the subcontractor and their contact information
• Location: The precise location where the work will be taking place
• Scope of Work: All the services provided by the subcontractor, including labor, material, travel expenses, etc.
• Duration: When they should complete the job
• Governing Law: A specification on which jurisdiction's law to consult in case of a dispute
• Payment Information: The payment amount as well as the preferred payment method
• Signatures: Both parties must sign the document to make it legally binding

Subcontractor Agreement Terms

• Independent Contractor: A person or business that provides specific services as a non-employee
• Subcontractor: A person or a company that performs portions of another separate contract
• 1099 Form: An IRS form for non-employment income
• Indemnity: Protection against financial liability

Subcontractor Agreement Signing Requirements

A Subcontractor Agreement can only be legally binding if both parties sign it. It's not necessary to notarize the agreement, and often the presence of a witness is sufficient.

To avoid any disputes and misunderstandings, read all the contract provisions carefully and negotiate the terms before signing.

What to Do With Your Subcontractor Agreement

Once signed, the Subcontractor Agreement is fully enforceable. It is not required to file the agreement with the court or any governing entity. However, both parties should keep a copy of the agreement on file in case they need it in the future.