“It is the Service Contract between Job provider and Job receiver.”-
What does ‘it’ refer to?
Identify and explain briefly any five features of such term.
Answers
Answer:
In today’s world, organizations tend to enter into a number of contracts with a large number of people/organizations for meeting their business and day-to-day requirements.
Organizations hire employees or engage the services of a third party to meet their needs. However, for all purposes, they enter into a number of contracts.
All such contracts entered into by the company can be broadly divided into two categories-
Contract for services/work for hire agreement
Parties: A contract for service is an agreement that is entered into by the company with a third-party for availing its services.
The third-party is an independent service provider, not an employee of the company.
The third party is not entitled to the benefits that the employees of the company receive or are entitled to from time to time during the course of their employment.
Control: The company does not exercise control over the third-party.
Purpose and ownership of intellectual property: The company enters into such contracts where they want the service provider to assign the ownership of the intellectual property rights in the created work to it and in return pay for the work done by the service provider.