Independent Contractor Agreement Page 6

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6.
R ELA TION SHIP OF THE PA R TIES
6.1
This Agreement is between two co
equal, independent business enterprises that are
separately owned and operated. The parties intend this Agreement to create the relationship of
principal and independent contractor and not that of employer and employee. The parties are not
employees, agents, joint venturers or partners of each other for any purpose, including but not limited
to the Federal Insurance Contributions Act ("FICA"), the Social Security Act, the Federal Unemployment
Tax Act ("FUTA"), income tax withholding requirements, state personal income tax withholding, state
unemployment taxes, state disability insurance and all other federal, state and local laws, rules and
regulations.
6.2
None of the provisions of this Agreement shall be interpreted as creating the
relationship of employer and employee between Subcontractor and Contractor or between
Subcontractor and Contractor’s customer at any time, under any circumstances or for any purpose.
Neither party shall have the right to bind the other by contract or otherwise except as specifically
provided in this Agreement.
6.3
Contractor shall have no right to, and shall not, control the manner or prescribe the
method of accomplishing those services which shall be contracted to, and performed by, Subcontractor
pursuant to this Agreement, and the general public and all governmental agencies regulating such
activities shall be so informed. Those provisions of the Agreement reserving ultimate authority in
Contractor or its customer have been inserted solely to achieve compliance with federal, state, or local
laws, regulations, and interpretations thereof, including the leasing regulations.
6.4
Contractor shall report all settlement payments made to Subcontractor on a calendar
year basis using IRS Form 1099, which Contractor may issue directly or through a third party
administrator selected for such purpose. Subcontractor agrees to report all such payments to the
appropriate federal, state and local taxing authorities. Upon execution of this Agreement,
Subcontractor shall provide Contractor with Subcontractor’s business license number, if any, and
Contractor’s federal employer identification number.
7.
SUBCONTRACTOR’S EXPENSES
7.1
Subcontractor shall be responsible for, and shall pay, all costs and expenses of doing
business, including, but not limited to: tolls, fuel, oil, tires, repairs, garaging, parking and maintenance of
vehicle(s) and other equipment, as well as, office overhead, salaries/wages/compensation for
employees and subcontractors, taxes and any other business expenses that may be required to perform
the services covered by this Agreement.
7.2
The parties agree, and Subcontractor hereby explicitly acknowledges, that the delivery
fees paid to Subcontractor pursuant to this Agreement shall constitute the entire amount to be paid to
Subcontractor for the contracted delivery services. As such, Subcontractor acknowledges the fees are
intended to cover both Subcontractor’s labor costs and business expenses.
8.
I N S U R A N C E
8.1
Subcontractor agrees to maintain, throughout the life of this Agreement and for so long
as services are furnished to Contractor, insurance of the types and in the amounts specified in this
Agreement. All required insurance policies must be issued by an insurance company authorized to do
6

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Parent category: Business