[thelist] Contract Opinion

[Philip Warbasse (info)]

Hi Gina,

I have been freelancing (contracting) for several years.  Hold harmless
agreements are "par for the course" and nothing to be paranoid over at all.
Basically, they want you to be responsible should you accidentally break a
pc or delete critical information, etc.  You should obtain professional
liability and errors and omissions insurance if don't already have it.
These coverage's protect you from actions arising from this very clause.

What I do in this situation is ask the company I am working for to name "my
company" as an additional insured on their policy.  This is a great way to
go because it is very inexpensive for the employer to add to an existing
policy and the insurance companies actually encourage this because it keeps
you from becoming a hostile witness should something go wrong and you have
to go to court.

Congratulations on your account.  Sign the contract.  Enjoy the work and
your hard earned fee!

Sincerely,
Philip Warbasse
www.warbassedesign.com



----- Original Message -----
From: "Gina Anderson" <gina at sitediva.com>
To: <thelist at lists.evolt.org>
Sent: Monday, March 10, 2003 8:14 AM
Subject: [thelist] Contract Opinion


> Hi all,
>
> I'm about to act as a subcontractor under 'Company A', acting together to
> design a website for 'Company B'. Company B has sent me a contract that is
> fine except for one clause, which I'm a bit hesitant about:
>
> 7. ACKNOWLEDGEMENT. The Contractor shall be responsible for loss or damage
> to any person or property incurred in connection with the work performed
> hereunder, and shall indemnify and hold 'Company B' harmless from payment
of
> claims of any kind arising out of such loss or damage.
>
> Maybe I'm paranoid, but that is a kind of broad statement to me. In your
> experience, is this normal procedure for these kind of contracts?
>
> It's actually the first time I've had to sign one from a 'Company B'
entity,
> I'm usually 'hidden' from them and covered under the contract of the
design
> firm that subcontracts my services---so I just need some input..would you
> sign it (as the rest of it is fine with me) or what?
>
> Thanks,
> Gina
>
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