The Independent Contractor Agreement Between Broker And Associate is essential for real estate professionals operating in the United States who wish to establish a clear independent contractor relationship rather than an employer-employee arrangement. This document is particularly important for compliance with IRS regulations and state real estate laws, while protecting both parties' interests. It typically includes detailed provisions about commission splits, duties, responsibilities, compliance requirements, and terms of the business relationship. The agreement helps brokers maintain necessary oversight while preserving the associate's independent contractor status, crucial for tax purposes and operational flexibility.
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1. Parties: Identification of the Broker and Associate, including license numbers and contact details
2. Background: Context of the agreement and brief description of the business relationship
3. Definitions: Key terms used throughout the agreement
4. Independent Contractor Status: Clear statement of relationship and autonomy of Associate
5. Duties and Responsibilities: Specific obligations of both Broker and Associate
6. Compensation: Commission structure, payment terms, and expense responsibilities
7. Term and Termination: Duration of agreement and conditions for ending relationship
8. Compliance with Laws: Obligation to comply with real estate laws and regulations
9. Insurance and Liability: Required insurance coverage and liability allocation
1. Non-Compete Provisions: Restrictions on competition post-termination, used when protecting broker's business interests in competitive markets
2. Confidentiality: Protection of sensitive business information and client data
3. Training Requirements: Specific training obligations and requirements for ongoing professional development
4. Marketing and Branding: Guidelines for using broker's brand and marketing materials
5. Technology Usage: Rules for using broker's technology systems and platforms
1. Commission Schedule: Detailed breakdown of commission splits and payment structure
2. Office Policies Manual: Reference to broker's standard operating procedures
3. Required Forms and Documents: Standard forms used in transactions
4. Technology Systems Access Agreement: Terms of use for broker's technology platforms
5. Insurance Requirements: Specific insurance coverage requirements and limits
Relevant legal definitions
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