Arkansas IT independent contractor agreement template

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How Arkansas IT independent contractor agreement Differ from Other States

Arkansas specifically follows strict criteria for classifying independent contractors, prioritizing economic independence and control factors.
Some IT work in Arkansas requires additional occupational licenses or permits that may not be required in other states.
Arkansas law explicitly prohibits non-competition clauses in certain IT contracts, which differs from many neighboring states.

Frequently Asked Questions (FAQ)

Q: Do Arkansas IT independent contractors need a business license?

A: Depending on the service provided, IT contractors may need a state business license or local permits.
Q: Are non-compete clauses enforceable in Arkansas IT contractor agreements?

A: Non-compete clauses are enforceable only under strict conditions and may not apply to certain IT professions.
Q: Can an IT contractor in Arkansas be classified as an employee?

A: If the contractor does not meet the state's criteria for independence, they may be reclassified as an employee.

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Arkansas IT Independent Contractor Agreement

This Arkansas IT Independent Contractor Agreement (the “Agreement”) is made and entered into as of this [Date], by and between:

[Client Company Name], a [Client Company Type] located at [Client Company Address] (“Client”), and
[Contractor Name], located at [Contractor Address] (“Contractor”).

1. Description of Services

Option A: Contractor shall provide the following IT services to Client: [Description of IT Services]. This includes, but is not limited to:
- Software Development
- Systems Integration
- Network Maintenance
- Cybersecurity Assessments
- IT Consulting
- Technical Support
- Cloud Deployment
Option B: The specific scope of work is detailed in [Exhibit A - Statement of Work], which is attached to and incorporated into this Agreement.
Option C: The Contractor will be responsible for [Specific Tasks/Responsibilities].

2. Service Locations

Option A: Services will be performed primarily at Client’s site located at [Client Site Address]. Contractor will adhere to all Client's security protocols, including physical and cyber access restrictions.
Option B: Services will be performed remotely.
Option C: Services will be performed in a hybrid model, with [Number] days per week at Client's site and the remainder remotely.

3. Data Privacy

Option A: Contractor shall comply with the Arkansas Personal Information Protection Act and all applicable federal data protection regulations. Contractor shall maintain reasonable security measures to protect Client data from unauthorized access, use, or disclosure.
Option B: Contractor acknowledges that Client is subject to [Specific Data Privacy Regulations, e.g., HIPAA, GLBA] and Contractor shall comply with all requirements necessary for Client to maintain compliance.

4. Compensation

Option A: Client shall pay Contractor at an hourly rate of [Hourly Rate] per hour for services rendered. Contractor will submit invoices to Client on a [Frequency, e.g., Bi-weekly, Monthly] basis.
Option B: Client shall pay Contractor a fixed fee of [Fixed Fee Amount] for the completion of the services described in Section 1. Payments will be made according to the following schedule: [Payment Schedule].
Option C: Client shall pay Contractor a retainer fee of [Retainer Fee Amount] per [Frequency, e.g., Month], plus [Hourly Rate/Fixed Fee per Project] for services performed above and beyond the retainer.
Option D: Contractor is responsible for all applicable Arkansas sales or use tax.

5. Intellectual Property

Option A: Client shall own all right, title, and interest in and to all intellectual property created or developed by Contractor in connection with the services performed under this Agreement.
Option B: Contractor shall retain ownership of all pre-existing intellectual property. Client shall have a non-exclusive license to use such intellectual property as necessary to utilize the services provided.
Option C: The use of open-source or third-party IP will be governed by [Specific License Terms].

6. Confidentiality

Option A: Contractor shall maintain the confidentiality of all Client’s confidential information. Contractor shall use reasonable security measures, including encryption and password management, to protect Client's confidential information.
Option B: Client shall maintain the confidentiality of Contractor's proprietary know-how, trade secrets, and other confidential information.
Option C: In the event of a data breach, Contractor shall notify Client within [Number] hours and take immediate steps to mitigate the damage.

7. Independent Contractor Relationship

Option A: Contractor is an independent contractor of Client. Nothing in this Agreement shall be construed to create an employment, partnership, or joint venture relationship between Contractor and Client.
Option B: Contractor is responsible for all federal and Arkansas state taxes, including income tax and self-employment tax.
Option C: Contractor is not entitled to any employee benefits from Client, including health insurance, paid time off, or retirement benefits.

8. Warranties and Representations

Option A: Contractor represents and warrants that they possess the professional qualifications and experience necessary to perform the services described in this Agreement.
Option B: Contractor represents and warrants that they are in compliance with all applicable Arkansas IT credentialing requirements, if any.
Option C: Contractor represents and warrants that the services will be performed in a professional and workmanlike manner.

9. Liability and Insurance

Option A: Contractor shall be liable for any damages caused by Contractor's negligence or willful misconduct.
Option B: Contractor shall maintain cyber liability insurance or professional errors & omissions insurance with a minimum coverage of [Insurance Coverage Amount].
Option C: Client shall not be liable for any personal injury or property damage sustained by Contractor while providing services.

10. Change Management

Option A: Any changes to the scope of work or timeline must be approved by Client in writing.
Option B: Any changes to the fees must be documented in a written amendment to this Agreement, executed by both parties.

11. Termination

Option A: This Agreement shall terminate upon completion of the services described in Section 1.
Option B: Client may terminate this Agreement for breach if Contractor fails to perform the services in accordance with the terms of this Agreement.
Option C: Either party may terminate this Agreement with [Number] days written notice.
Option D: Upon termination, Contractor shall return all Client data and confidential information and securely delete all copies.

12. Dispute Resolution

Option A: Any disputes arising out of or relating to this Agreement shall be resolved through negotiation.
Option B: If negotiation fails, the parties agree to submit the dispute to mediation in [City, Arkansas].
Option C: If mediation fails, the dispute shall be resolved by binding arbitration in [City, Arkansas], in accordance with the rules of the American Arbitration Association.

13. Governing Law

Option A: This Agreement shall be governed by and construed in accordance with the laws of the State of Arkansas.
Option B: The exclusive jurisdiction and venue for any legal action arising out of or relating to this Agreement shall be the courts of Arkansas.

14. Non-Solicitation and Non-Competition

Option A: During the term of this Agreement and for a period of [Number] months following termination, Contractor shall not solicit or attempt to solicit any of Client's employees or customers.
Option B: During the term of this Agreement and for a period of [Number] months following termination, Contractor shall not engage in any business that is competitive with Client's business within a [Number] mile radius of [City, Arkansas].

15. Indemnification

Option A: Contractor shall indemnify and hold Client harmless from any and all claims, damages, losses, and expenses arising out of or relating to Contractor's services under this Agreement, including claims for infringement, business interruption, or regulatory penalties.

16. Record Keeping

Option A: Contractor shall maintain accurate records of all services performed and shall provide such records to Client upon request.

17. Subcontracting

Option A: Contractor shall not subcontract any of the services under this Agreement without the prior written consent of Client.
Option B: Any subcontractors used by Contractor shall be subject to the same obligations as Contractor under this Agreement.

18. Compliance

Option A: If Client is subject to specific regulations such as HIPAA or GLBA, Contractor shall comply with all applicable requirements of such regulations.

19. Entire Agreement

Option A: This Agreement constitutes the entire agreement between the parties and supersedes all prior or contemporaneous communications and proposals, whether oral or written, relating to the subject matter of this Agreement.

20. Severability