Agreement between a Company and A contractor for supplying Labour

This agreement made this day ……….. of …….………….. 20….. between M/s……………….. having their registered office and factory at………………represented by the partner Sri ……..…………….. (hereinafter called the company) on one part and M/s …........................ supplied by its proprietor, Sri ............................... (hereinafter called the contractor) which shall mean and include their Legal heirs, successors and permitted assign on the other part witness as follows :-

01. Whereas the contractor being desirous of performing the work of supplying labour to company have submitted his offer and whereas the contractor agreed to perform the duties described the following terms and conditions, now this deed witnesseth the parties hereunder do mutually agrees as follows:

DESCRIPTION OF WORK

02. The Contractor shall supply casual labour in each shift (A, B and C) as per the requirement of the organization.

03. The Contractor shall be paid at Rs ……………… (Rupees only per each casual worker supplied by him per day.

04. The Contractor shall also be paid weekly offs and organization notified holidays

05. The Labour employed by the Contractor shall follow the safety norms strictly including
prohibiting smoking inside the premises.		

06. Labour supplied by the Contractor shall be in the age group of 20 to 25 years and know tile works of …………..

07. The Labour supplied by the Contractor shall not join any union or participate in the union activities inside or outside of the factory and the labour deployed by the Contractor will functionally be under the administrative control of the contractor and the labour however perform duties as per the norms and instructions of the management

08. The Contractor shall make his own arrangements for the transportation for supply of tabotir at the site and the Management will not make any arrangements for the same

09. Intiially the contract shall be for a period of ………….. (i.e.) from …………. to …..…………. Management reserves the right to terminate the contract at any time during the period of Contract without giving any notices if the services rendered are not found satisfactory.  The Contractor shall not be entitled to any compensation oil account of such termination of the agreement.  In case of any dispute, the decision of the management shall be final and legally binding on the contractor.

10. DAILY CONTACT WITH THE OFFICIAL : The Contractor shall inform the Managing Director of the above company, the Names, addresses and telephone nos. of one or more responsible representatives authorized to act on behalf of the Contractor in the day to day working.  The Contractor shall ensure that one of those representatives call on the officials of the company every day and generally remains in constant touch with them to obtain information and instructions about the work to be done under this agreement and to post them with information about the work done

11. VOLUME OF WORK : The Company does not guarantee any volume of work at any time during the period of arrangement.  The mere mention of the item of work in the agreement does not by itself confer a right on the contractor to demand that the entire work should necessarily or exclusively be entrusted to him.  The company reserves the right to appoint one or more other contractors and distribute the work among them during the currency of this agreement at its unfettered discretion in any manner that it may decide and no claim for compensation shall be against the company in this matter.  The decision of the Management shall be final and legally binding on the contractor

12. FULFILLMENT OF WORK WITHIN THE STIPULATED TIME : The contractor shall be responsible to supply adequate Labour for fulfilling the work entrusted to him within the time stipulated by the company failing which the company at its discretion and without terminating the agreement shall be at liberty to make alternative arrangements to get the work fulfilled at the risk and cost of the contractor who shall be liable to make good to the company all additional charges, expenses, costs etc. that the company may incur or suffer thereby.  The contractor shall not however be entitled to any gain resulting to the company from the making of alternative arrangements.  The decision of the company in this matter shall be final and legally binding on the Contractor.

13. TERMINATION OF AGREEMENT : In the event of contractor being adjudged insolvent or convicted for criminal misconductor going into liquidation or winding up his business or failing to observe any of the provisions of the agreement, the company shall be at liberty to terminate the agreement forthwith without prejudice to any other rights or remedies under the agreement and to get the work done for the unexpired period of the agreement at the risk and cost of the contractor and to recover from the contractor any resultant loss sustained or costs incurred by the company.

14. LOSS SUSTAINED BY THE COMPANY : The contractor shall indemnify the company, for any loss or damage sustained by its due to the improper performance of the work by the Contractor, under this agreement such loss sustained by the company may be recovered from the bills payable to the Contractor under this agreement, should the above sums not sufficient to cover the full amount recoverable, the contractor shall pay to the company on demand the balance amount.

15. RECOVERY OF DUES :  The company will have the right to appropriate and set off any sum of money payable to the contractor under this agreement against  any claim by the company against the contractor should the above sums be not sufficient to cover the full amount of the claims, the contractor shall pay the company on demand the balance amount due.

16. MAINTENANCE AND FURNISHING OF INFORMATION :

(a) The contractor shall not only maintain complete accounts but also furnish returns as and when requested by the company in the proforma prescribed by the company.

(b) The contractor shall furnish to the officials of the company daily with the details of work performed by the Labour.

(c) The contract or shall produce his books and records for inspection and scrutiny formed by the Managing Director or any officer of the Company authorized.

17. SUBLETTING FUNCTION : The Contractor shall not sublet or transfer the whole or part of the functions under this agreement or assign of the benefits under this agreement to any other person, firm or company without the previous approval of the company.

18. DAMAGE TO THIRD PARTY : The contractor shall be responsible to any third party for any damage or injury caused to the misfeasance, nonfeasance, or malfeasance of the contractor.

19. RESPONSIBILITIES UNDER VARIOUS ACTS : The contractor shall engage all persons employed by him as his own servants in all respects and assume responsibilities under the Factories Act, 1948.  The Workman's Compensation Act, 1923 Contract Labour (Regulation and Abolition) Act, 1970 Employees State Insurance Act and Employees Provident Funds Act, 1952 and other similar enactments in respect of such personnel.  The contractor shall indemnify the company against all claims.  The respect of the aforesaid personnel under the aforesaid acts and other similar enactments in respect of such personnel. The contractors shall obtain from the Regional Provident Fund Commissioner, A.P.Sanction Coverage of the establishment of the contractor under the Employees Provident Fund Act, 1952.  Even in case of number of employees is less than 20, the contractor shall obtain voluntary Covereage of his establishment under the aforesaid act.  In the event of the company having to pay any amount due to non-observation of the various provisions under the Act, the contractor shall be liable to reimburse the aforesaid amount to the company.

20. OBSERVANCE OF LAWS : The contractors shall be bound by all Laws, orders etc. in force or issued by the Central or State Govt. from time to time and shall be solely liable for any Penal Consequences that may ensure due to violation by the contractor of any law order etc.

21. COMPLIANCE WITH DIRECTIONS : The contractor shall comply with Directions, issued from time Pt time by the Manging Director of the Company regarding the work of the contractor under the Agreement.

22. PAYMENT OF BILLS OF CONTRACTORS :

(a) Payment will be made by cheque drawn in favour of the contractor on the basis of actual no.of labour and the no. of days actually worked after deducting the prescribed TDS.

(b) The Company shall not make any payment of interest on bills for outstanding payments.

(c) The Contractor shall claim his due on Seventh day of every month regularly and the payment will be made to him by the company on fifteenth day of every month

23. CLAIMS : The contractor shall prefer claims if any, in writing within thirty days from the date of termination or completion of Agreement, failing which such claim shall be deemed to have been waived and absolutely barred and the company shall be discharged and released of all  liabilities under this agreement in respect of such claim.

24. OTHER TERMS AND CONDITIONS: In addition to the terms and conditions set forth in this agreement the terms and conditions contained in the other Communication exchanged between the Contractor and the Company shall form part and parcel of this agreement.

25. If any difference of opinion arises between the company and contractor, the decision taken by the company in all such cases shall be final and legally binding.

26. All disputes arising out of this agreement will be Subject to .......................... Legal  Jurisdiction only.

IN WITNESS WHERE OF THE PARTIES HERE TO SET THEIR HANDS IN THE PRESENCE OF WITNESSES:

ON BEHALF OF THE CONTRACTOR:                            
SIGNATURE:
         CAPACITY:
         NAME :
         ADDRESS :

ON BEHALF OF THE COMPANY:                                   
SIGNATURE:
         CAPACITY:
         NAME:
         ADDRESS: