When do I need an agreement with a service provider or consultant?

TLDR: Always have an agreement in place with service providers or consultants.

Consultants should enter into a written consulting agreement prior to starting work for a company. The agreement should include invention assignment provisions. Sometimes, a consultant’s ability to assign rights to their work product may be affected by other agreements that they are bound to, so it is important to ensure that the consultant is legally able to assign any work product they create and to which your company needs the rights, and that the consultant signs the written consulting agreement before any work begins.

When engaging independent contractors, employers must be careful to properly classify independent contractors as independent contractors, or else the employer risks misclassification-related risks.

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