Key Provisions for Independent Contractor Agreements

For brokers who classify their real estate salespeople as independent contractors, having a written independent contractor agreement is a fundamental element of successfully managing this relationship. While the existence of a written agreement is not dispositive as to whether the relationship is in reality
that of an independent contractor, a written agreement not only adds important protections for the broker, but is frequently a required element of various state law tests, as well as a required element of certain federal law tests, for determining independent contractor status. In addition, courts take the existence of a written agreement into consideration in analyzing whether an independent contractor relationship existed between the parties. For these reasons, be sure to always have a written independent contractor agreement in place at the outset of any such relationship.

Consider these helpful provisions for your independent contractor agreements.

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