2. Independent contractors. The agreement must specify that the status of the advisor is that of an independent contractor. While it is important for tax reasons (withholding, etc.), it is also important, from the advisor`s point of view, not to contractually bind the client to third parties and may limit the client`s liability for the advisor`s actions, even if it is committed as part of the contract during the performance of the benefits. 5. Other points to be included in the notice of dismissal are: There are several reasons why a consulting contract could be terminated, some of which are listed below: 3. Duration and termination. The duration of the agreement is usually quantified in months or years. It is very likely that it will be in compliance with the compensation plan.
The client should protect his interests by authorizing the termination of the contract under certain conditions. As a general rule, these conditions constitute (1) a violation of the provisions of the confidentiality or non-call agreement or (2) of illegal activities affecting the consultant`s performance in the context of the agreement. In the absence of this right of termination, the client also engages with the advisor when the advisor has taken counter-measures contrary to the client`s interest. However, the following conditions should be considered as basic conditions for any advisory agreement. The key conditions set out in a written agreement give the parties reasonable expectations of what services to provide under the agreement and their consequences if those expectations are not met. The client should always require the advisor to provide services with high professional standards and a high business ethic, to maintain the client`s confidentiality and, if necessary, ask the advisor to obtain prior written authorization before having to instruct another person to assist in the service under the agreement. In the absence of these requirements, the client endangers his assets (for example. B the client`s confidential information) without resorting to the advisor.