Hiring a subcontractor involves risks. This document aims to reduce this risk. Make sure you do things right if you are the primary service provider that will outsource the work or if you are a subcontractor using this legally binding subcontract. This subcontract form defines in clear and simple terms the process to be followed for the provision of services by other persons or companies. Imagine, for example, that you are in charge of renovating a house, but you do not know how to safely occupy yourself on the electrical side of work. In this situation, you can ask a contractor to do this on your behalf. This contractor, on the other hand, could hire a subcontractor to fill in the gaps in its own knowledge. All this can become a complex network of agreements. The world of public procurement and subcontracting can certainly be confusing, especially when multiple contractors and subcontractors are purchased to take on different responsibilities in the same project. Therefore, it may pay off for you to know how specific types of agreements may differ. Your PLI directive should cover contractors/subcontractors who work for you outside your premises, unless the contractors/subcontractors have their own PLI with the same degree of coverage. Many service contracts provide that subcontractors must assert themselves. A subcontractor is an independent company.
They undertake to provide agreed services for a fixed fee (and possibly a duration) under a service contract. If you hire them, you will become your client.