Independent Contractor Agreements
Hiring Independent Contractors in Ontario?
Get the Right Contractor Agreement and Reduce Legal Risk
Why Contractor Agreements Matter for Employers
Independent contractor agreements can offer flexibility—but only if they’re drafted properly. Misclassifying workers as contractors when they legally qualify as employees can expose your organization to CRA audits, Ministry of Labour complaints, or civil lawsuits. At Achkar Law, we help employers across Ontario reduce these risks through clear, compliant, and enforceable contractor agreements.
→ Get Legal Help with Contractor Agreements — Contact Our Team Today
What Is an Independent Contractor Agreement?
An independent contractor agreement sets out the terms of a business-to-business relationship. Unlike employment contracts, contractor agreements are not governed by the Employment Standards Act (ESA)—but if the agreement is poorly drafted or misused, the law may still treat the contractor as an employee.
We help ensure your agreement:
Clearly defines the contractor relationship
Includes enforceable terms and expectations
Avoids triggers that can imply employment under Ontario law
Risks of Employee Misclassification for Employers
Misclassifying a contractor as an independent business when they function like an employee can result in:
CRA penalties for unpaid CPP, EI, and tax withholdings
Ministry of Labour complaints and ESA claims
Civil lawsuits for wrongful dismissal or unpaid entitlements
Audits and reputational risk
→ Prevent Misclassification — Book a Consultation Today
What Employers Need to Include in a Contractor Agreement
Your contractor agreement should include:
Clear definition of the relationship (contractor vs employee)
Scope of services and deliverables
Payment terms (flat rate, milestone, retainer)
Termination clauses and renewal terms
Non-solicit, confidentiality, and intellectual property clauses
Proof of business registration or insurance (when applicable)
We draft and review contractor agreements with enforceability and protection in mind.
When Employers Should Contact a Lawyer
You should consult an employment lawyer when:
Hiring a contractor for a recurring or long-term role
Renewing or modifying an existing agreement
Unsure if the role qualifies as employment under ESA or CRA tests
A contractor disputes their classification or files a complaint
You’re terminating a contractor and want to avoid wrongful dismissal claims
→ Work With a Lawyer Who Understands Ontario’s Contractor Laws
Our Contractor Legal Services for Employers Include:
Drafting customized contractor agreements
Reviewing templates for enforceability
Advising on CRA and ESA classification tests
Structuring relationships to reduce risk
Handling disputes involving contractors
Why Employers Choose Achkar Law
Ontario-Focused Advice: We understand local employment laws and contractor obligations.
Cross-Disciplinary Support: We handle both employment and commercial issues related to contractor relationships.
Risk-Reduction Focus: We proactively identify risks before they lead to audits or claims.
Tailored Contracts: Every workplace is different. We tailor our legal advice to your operations.
Contact Us for Help With Contractor Agreements
Contractor relationships offer flexibility—but they come with legal risk. Let us help you build enforceable, compliant agreements that protect your business and support your goals.
Call Toll-Free: 1-800-771-7882 | Email: [email protected]
Contact Us
If your business is facing employment litigation issues, Achkar Law is here to help. Contact us today to schedule a consultation and let us provide the support and guidance you need to protect your business.
Resolve Your Employment Litigation Issues with Achkar Law
Contact us today to schedule a consultation with our Experienced Employment and Labour Lawyers
Contact us by phone toll-free at 1-866-471-5098 or email us at [email protected], and we will be happy to assist.