An independent contractor agreement is a written contract between the contractor and the consumer that specifies the compensation, scope of work, length of project, terms of confidentiality and dispute resolution process. It is also known as a consultant agreement, a general contractor agreement or a subcontractor agreement.
Independent contractor agreements are necessary when services are provided on a project-to-project basis. Employee agreements are used for employees. An independent contractor is a person or company that works for himself or itself to provide a service or product for compensation and has control over how the work is done. An employee works for the person or company that receives the service.