Every business has its peculiarities. As a freelancer, there is probably one primary type of job you carry out for your clients. Every time you have a job, you have to create a contract template for the benefit of you and your client. The contracts are often similar since you are doing the same thing, only for a different person with probably a few different details.
Creating contracts can get repetitive; that is why it is good to create a personal contract template. This template ensures that you don’t have to create a contract from scratch every time you have a job. This advantage is enough for any freelancer to get to writing one. But, there are more benefits, and we have outlined for you below.
The advantages of a personal contract template
You can get a contract template by doing a quick search on any search engine. However, not all contract templates will suit your business or the need you have then. You might have to check out several templates before you find one that comes close to what you need. Sometimes, you never find one that fits, so you spend time tweaking the one that comes close to match your needs.
A personal contract template saves you this trouble as you have already modified it for your needs. Other benefits you gain when you have this kind of contract template are;
1. The personal contract template is simpler and more efficient
A personal contract template makes the process of writing a professional contract easy. It also ensures the efficiency of your agreement. Without the template, you might be stuck trying to remember all the details of your previous arrangements. You would most likely forget a detail or two and never realize it until you find your old contracts. You can save yourself all the stress and get a high-grade professional contract by using a dedicated template.
2. The personal contract template saves cost and time
It is easy to see how a personal template saves you the time spent in drawing up a contract from the first word. However, you might not see how it helps you save money until you consider this scenario. You use a freelancer contract management software that charges you for every template you use. Instead of paying these charges all the time, you can create a personal contract template that you can use for your business.
A brand is more than a name. It is a particular culture and statement that you have to maintain. A personal contract template is one of the measures you can implement to ensure your clients associate you with a particular standard. It provides proper formatting and order. You can guarantee that your contact information is where it should be, along with other essential details.
4. Satisfy your customers in the personal contract sample
The customer is king, even when you are a freelancer. When your contract has a professional structure, your client will not easily find something wrong with it that will delay the business transaction. You will also get more jobs from customers who are satisfied with every process of your freelancing. Another advantage you would get from a personalized contract template is protection. If a fraud tries to contact your clients, they would quickly recognize that the contract does not follow your pattern.
A personal template for your contracts can do a lot of good for your freelance business. Are you wondering how you could go about it? You can form your contract template on contract management platforms like Bonsai.
Yes, legal degree is not a requirement for creating personal contracts. It just needs all the elements that a legally binding contract needs. Good thing Bonsai has that covered with their free personal contract templates.
For as long a your personal contracts has the important elements, it is legally binding. To save you the hassle, you can download Bonsai's free template. It has all the nitty-gritty legal jargons your contract needs.
Microsoft word and other softwares offer free personal contract templates. However, a template already curated by lawyers is available at Bonsai. It's easy to download, you just need t sign up and edit as you please.
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This Contract is between Client (the "Client") and [FREELANCER NAME] (the "Freelancer").
The Contract is dated [the date both parties sign].
1.1 Project. The Client is hiring the Freelancer to do the following: [SERVICE DESCRIPTION]
1.2 Schedule. The Freelancer will begin work on [DATE] and will continue until the work is completed. This Contract can be ended by either Client or Freelancer at any time, pursuant to the terms of Section 6, Term and Termination.
1.3 Payment. The Client will pay the Freelancer a rate of [PROJECT RATE] per hour. Of this, the Client will pay the Freelancer [DEPOSIT AMOUNT] before work begins.
1.4 Expenses. The Client will reimburse the Freelancer's expenses. Expenses do not need to be pre-approved by the Client.
1.5 Invoices. The Freelancer will invoice the Client at [INVOICE FREQUENCY]. The Client agrees to pay the amount owed within [X] days of receiving the invoice. Payment after that date will incur a late fee of [LATE FEE PERCENTAGE]% per month on the outstanding amount.
1.6 Support. The Freelancer will not provide support for any deliverable once the Client accepts it, unless otherwise agreed in writing.
2.1 Client Owns All Work Product. As part of this job, the Freelancer is creating “work product” for the Client. To avoid confusion, work product is the finished product, as well as drafts, notes, materials, mockups, hardware, designs, inventions, patents, code, and anything else that the Freelancer works on—that is, conceives, creates, designs, develops, invents, works on, or reduces to practice—as part of this project, whether before the date of this Contract or after. The Freelancer hereby gives the Client this work product once the Client pays for it in full. This means the Freelancer is giving the Client all of its rights, titles, and interests in and to the work product (including intellectual property rights), and the Client will be the sole owner of it. The Client can use the work product however it wants or it can decide not to use the work product at all. The Client, for example, can modify, destroy, or sell it, as it sees fit.
2.2 Freelancer's Use Of Work Product. Once the Freelancer gives the work product to the Client, the Freelancer does not have any rights to it, except those that the Client explicitly gives the Freelancer here. The Client gives permission to use the work product as part of portfolios and websites, in galleries, and in other media, so long as it is to showcase the work and not for any other purpose. The Client does not give permission to sell or otherwise use the work product to make money or for any other commercial use. The Client is not allowed to take back this license, even after the Contract ends.
2.3 Freelancer's Help Securing Ownership. In the future, the Client may need the Freelancer's help to show that the Client owns the work product or to complete the transfer. The Freelancer agrees to help with that. For example, the Freelancer may have to sign a patent application. The Client will pay any required expenses for this. If the Client can’t find the Freelancer, the Freelancer agrees that the Client can act on the Freelancer's behalf to accomplish the same thing. The following language gives the Client that right: if the Client can’t find the Freelancer after spending reasonable effort trying to do so, the Freelancer hereby irrevocably designates and appoints the Client as the Freelancer's agent and attorney-in-fact, which appointment is coupled with an interest, to act for the Freelancer and on the Freelancer's behalf to execute, verify, and file the required documents and to take any other legal action to accomplish the purposes of paragraph 2.1 (Client Owns All Work Product).
2.4 Freelancer's IP That Is Not Work Product. During the course of this project, the Freelancer might use intellectual property that the Freelancer owns or has licensed from a third party, but that does not qualify as “work product.” This is called “background IP.” Possible examples of background IP are pre-existing code, type fonts, properly-licensed stock photos, and web application tools. The Freelancer is not giving the Client this background IP. But, as part of the Contract, the Freelancer is giving the Client a right to use and license (with the right to sublicense) the background IP to develop, market, sell, and support the Client’s products and services. The Client may use this background IP worldwide and free of charge, but it cannot transfer its rights to the background IP (except as allowed in Section 11.1 (Assignment)). The Client cannot sell or license the background IP separately from its products or services. The Freelancer cannot take back this grant, and this grant does not end when the Contract is over.
2.5 Freelancer's Right To Use Client IP. The Freelancer may need to use the Client’s intellectual property to do its job. For example, if the Client is hiring the Freelancer to build a website, the Freelancer may have to use the Client’s logo. The Client agrees to let the Freelancer use the Client’s intellectual property and other intellectual property that the Client controls to the extent reasonably necessary to do the Freelancer's job. Beyond that, the Client is not giving the Freelancer any intellectual property rights, unless specifically stated otherwise in this Contract.
3. COMPETITIVE ENGAGEMENTS. The Freelancer won’t work for a competitor of the Client until this Contract ends. To avoid confusion, a competitor is any third party that develops, manufactures, promotes, sells, licenses, distributes, or provides products or services that are substantially similar to the Client’s products or services. A competitor is also a third party that plans to do any of those things. The one exception to this restriction is if the Freelancer asks for permission beforehand and the Client agrees to it in writing. If the Freelancer uses employees or subcontractors, the Freelancer must make sure they follow the obligations in this paragraph, as well.
4. NON-SOLICITATION. Until this Contract ends, the Freelancer won’t: (a) encourage Client employees or service providers to stop working for the Client; (b) encourage Client customers or clients to stop doing business with the Client; or (c) hire anyone who worked for the Client over the 12-month period before the Contract ended. The one exception is if the Freelancer puts out a general ad and someone who happened to work for the Client responds. In that case, the Freelancer may hire that candidate. The Freelancer promises that it won’t do anything in this paragraph on behalf of itself or a third party.
5.1 Overview. This section contains important promises between the parties.
5.2 Authority To Sign. Each party promises to the other party that it has the authority to enter into this Contract and to perform all of its obligations under this Contract.
5.3 Freelancer Has Right To Give Client Work Product. The Freelancer promises that it owns the work product, that the Freelancer is able to give the work product to the Client, and that no other party will claim that it owns the work product. If the Freelancer uses employees or subcontractors, the Freelancer also promises that these employees and subcontractors have signed contracts with the Freelancer giving the Freelancer any rights that the employees or subcontractors have related to the Freelancer's background IP and work product.
5.4 Freelancer Will Comply With Laws. The Freelancer promises that the manner it does this job, its work product, and any background IP it uses comply with applicable U.S. and foreign laws and regulations.
5.5 Work Product Does Not Infringe. The Freelancer promises that its work product does not and will not infringe on someone else’s intellectual property rights, that the Freelancer has the right to let the Client use the background IP, and that this Contract does not and will not violate any contract that the Freelancer has entered into or will enter into with someone else.
5.6 Client Will Review Work. The Client promises to review the work product, to be reasonably available to the Freelancer if the Freelancer has questions regarding this project, and to provide timely feedback and decisions.
5.7 Client-Supplied Material Does Not Infringe. If the Client provides the Freelancer with material to incorporate into the work product, the Client promises that this material does not infringe on someone else’s intellectual property rights.
This Contract is ongoing until the work is completed. Either party may end this Contract for any reason by sending an email or letter to the other party, informing the recipient that the sender is ending the Contract and that the Contract will end in 7 days. The Contract officially ends once that time has passed. The party that is ending the Contract must provide notice by taking the steps explained in Section 11.4. The Freelancer must immediately stop working as soon as it receives this notice, unless the notice says otherwise. The Client will pay the Freelancer for the work done up until when the Contract ends and will reimburse the Freelancer for any agreed-upon, non-cancellable expenses. The following sections don’t end even after the Contract ends: 2 (Ownership and Licenses); 3 (Competitive Engagements); 4 (Non-Solicitation); 5 (Representations); 8 (Confidential Information); 9 (Limitation of Liability); 10 (Indemnity); and 11 (General).
The Client is hiring the Freelancer as an independent contractor. The following statements accurately reflect their relationship:
8.1 Overview. This Contract imposes special restrictions on how the Client and the Freelancer must handle confidential information. These obligations are explained in this section.
8.3 Third-Party Confidential Information. It’s possible the Client and the Freelancer each have access to confidential information that belongs to third parties. The Client and the Freelancer each promise that it will not share with the other party confidential information that belongs to third parties, unless it is allowed to do so. If the Client or the Freelancer is allowed to share confidential information with the other party and does so, the sharing party promises to tell the other party in writing of any special restrictions regarding that information.
Neither party is liable for breach-of-contract damages that the breaching party could not reasonably have foreseen when it entered this Contract.
10.1 Overview. This section transfers certain risks between the parties if a third party sues or goes after the Client or the Freelancer or both. For example, if the Client gets sued for something that the Freelancer did, then the Freelancer may promise to come to the Client’s defense or to reimburse the Client for any losses.
10.2 Client Indemnity. In this Contract, the Freelancer agrees to indemnify the Client (and its affiliates and their directors, officers, employees, and agents) from and against all liabilities, losses, damages, and expenses (including reasonable attorneys’ fees) related to a third-party claim or proceeding arising out of: (i) the work the Freelancer has done under this Contract; (ii) a breach by the Freelancer of its obligations under this Contract; or (iii) a breach by the Freelancer of the promises it is making in Section 5 (Representations).
10.3 Freelancer Indemnity. In this Contract, the Client agrees to indemnify the Freelancer (and its affiliates and their directors, officers, employees, and agents) from and against liabilities, losses, damages, and expenses (including reasonable attorneys’ fees) related to a third-party claim or proceeding arising out of a breach by the Client of its obligations under this Contract.
11.1 Assignment. This Contract applies only to the Client and the Freelancer. The Freelancer cannot assign its rights or delegate its obligations under this Contract to a third-party (other than by will or intestate), without first receiving the Client’s written permission. In contrast, the Client may assign its rights and delegate its obligations under this Contract without the Freelancer's permission. This is necessary in case, for example, another Client buys out the Client or if the Client decides to sell the work product that results from this Contract.
11.2 Arbitration. As the exclusive means of initiating adversarial proceedings to resolve any dispute arising under this Contract, a party may demand that the dispute be resolved by arbitration administered by the American Arbitration Association in accordance with its commercial arbitration rules.
11.3 Modification; Waiver. To change anything in this Contract, the Client and the Freelancer must agree to that change in writing and sign a document showing their contract. Neither party can waive its rights under this Contract or release the other party from its obligations under this Contract, unless the waiving party acknowledges it is doing so in writing and signs a document that says so.
11.4 Notices.
(a) Over the course of this Contract, one party may need to send a notice to the other party. For the notice to be valid, it must be in writing and delivered in one of the following ways: personal delivery, email, or certified or registered mail (postage prepaid, return receipt requested). The notice must be delivered to the party’s address listed at the end of this Contract or to another address that the party has provided in writing as an appropriate address to receive notice.
(b) The timing of when a notice is received can be very important. To avoid confusion, a valid notice is considered received as follows: (i) if delivered personally, it is considered received immediately; (ii) if delivered by email, it is considered received upon acknowledgement of receipt; (iii) if delivered by registered or certified mail (postage prepaid, return receipt requested), it is considered received upon receipt as indicated by the date on the signed receipt. If a party refuses to accept notice or if notice cannot be delivered because of a change in address for which no notice was given, then it is considered received when the notice is rejected or unable to be delivered. If the notice is received after 5:00pm on a business day at the location specified in the address for that party, or on a day that is not a business day, then the notice is considered received at 9:00am on the next business day.
11.5 Severability. This section deals with what happens if a portion of the Contract is found to be unenforceable. If that’s the case, the unenforceable portion will be changed to the minimum extent necessary to make it enforceable, unless that change is not permitted by law, in which case the portion will be disregarded. If any portion of the Contract is changed or disregarded because it is unenforceable, the rest of the Contract is still enforceable.
11.6 Signatures. The Client and the Freelancer must sign this document using Bonsai’s e-signing system. These electronic signatures count as originals for all purposes.
11.7 Governing Law. The laws of the state of California govern the rights and obligations of the Client and the Freelancer under this Contract, without regard to conflict of law principles of that state.
11.8 Entire Contract. This Contract represents the parties’ final and complete understanding of this job and the subject matter discussed in this Contract. This Contract supersedes all other contracts (both written and oral) between the parties.
THE PARTIES HERETO AGREE TO THE FOREGOING AS EVIDENCED BY THEIR SIGNATURES BELOW.
