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The Independent Contractor Agreement Template is a comprehensive and professionally crafted legal document designed to facilitate clear and mutually beneficial working relationships between your business and the contractors you engage. 


Who: Businesses hiring independent contractors to provide professional services to their business


Why: If you have a contractor in your business, it is crucial that an Independent Contractor Agreement is put in place so that they are not deemed an employee and entitle to employee benefits such as annual leave, personal leave, long service, etc. You could also be liable for employee related taxes and superannuation if the contractor claims they are an employee. 


Key Features:


  • Precise Scope of Work: Clearly define the scope of services or tasks to be performed by the independent contractor, including deadlines, milestones, and quality standards, ensuring project alignment.


  • Payment Clarity: Specify payment terms, such as compensation structure, invoicing procedures, and payment schedules, promoting transparency and minimising payment disputes.


  • Confidentiality and Non-compete: Protect sensitive business information and prevent contractors from competing with your interests with robust confidentiality and non-compete clauses.


  • Intellectual Property Rights: Clarity that the ownership of any intellectual property developed during the contract is owned by you, reducing potential disputes over rights and usage.


  • Compliance with Laws: Ensure contractors operate in accordance with Australian employment and tax laws, reducing legal risks of them being considered any employee.


  • Insurance and Liability: Clear insurance requirements and liability provisions, ensuring that both parties are adequately protected in the event of unforeseen circumstances.


  • Safeguards Your Business: The agreement makes the contractor liable for any damage they cause and puts a limit on how much the subcontractor can sue you for if something goes wrong.


The ATO sets out clear rules on who is a employee and who is a contractor. Please review the ATO guidelines so you are up to date on who can be classified as a contractor and what superaanuation obligations you may have to the contractor. 


Want it done for you?


We are always happy to take the work out of your hands. If you buy the template and then decide you would rather leave the drafting to the professionals, you can upgrade to a “Done for You” package from $400+GST. Just shoot us an email and we will take care of the rest.


Legal Notice


This is a template document and has not been prepared to meet your specific circumstances. By using this document you understand that Law by Design is not providing you with any legal advice, nor is there a solicitor/client relationship between us.


This template is suitable for very basic situations. If you are seeking a more detailed contract, please contact us and we can prepare a bespoke agreement for you. The best way of ensuring your document suits your circumstances is seeking legal advice on how to tailor the document to meet your requirements.  As always please feel free to reach out for assistance. You can contact us at

Independent Contractor Agreement

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